20211827 Ver 1_Public Notice Comments_20211221 (8)

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2021
SESSION LAW 2021-78
SENATE BILL 605
AN ACT TO MAKE VARIOUS CHANGES TO THE LAWS CONCERNING
AGRICULTURE AND FORESTRY.
The General Assembly of North Carolina enacts:
VOLUNTARY AGRICULTURAL DISTRICT TECHNICAL CHANGES
SECTION 1. Article 61 of Chapter 106 of the General Statutes reads as rewritten:
"Article 61.
"Agricultural Development and Preservation of Farmland.
"Part 2. Voluntary Agricultural Districts.
"§ 106-737. Qualifying farmland.
In order for farmland to qualify for inclusion in a voluntary agricultural district or an
enhanced voluntary agricultural district under Part I or Part 2 of this Article, it must be real
property that:
(1) is engaged ; agFi6tIftWe aS that .:.,,, -,a is defined i G.S. 106 58 , .Is used for
bona fide farm purposes, as that term is defined in G.S. 106-743.4(a) and
G.S. 160D-903.
(2) Repealed by Session Laws 2005-390, s. 11 effective September 13, 2005.
(3) Is managed in accordance with the Soil Conservation Service defined erosion
control practices that are addressed to highly erodable land; and
(4) Is the subject of a conservation agreement, as defined in G.S. 121-35, between
the eettx!local government administering the voluntM agricultural district
program and the owner of such land that prohibits nonfarm use or
development of such land for a period of at least 10 years, except for the
creation of not more than three lots that meet applicable county and municipal
zoning and subdivision regulations. The form of the conservation agreement
shall be approved by the agricultural advisory board created under
CT S 106-739
"§ 106-737.1. Revocation of conservation agreement.
By written notice to the eettx�—,local government administering the voluntM agricultural
district program, the landowner may revoke this conservation agreement. Such revocation shall
result in loss of qualifying farm status.
"§ 106-738. Voluntary agricultural districts.
(a) An ordinance adopted under this Part shall provide:
(1) For the establishment of voluntary agricultural districts 44ally o
d rt4ag the ofdin ;upon the execution of a conservation agreement as
provided in G.S. 106-737(4).
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C27f „t t � ,mot., .,;„ „ltufe i the ,ais4iet;
0 0 0 ., 00 0
(} zlaatahie tfoem-r f this agfeement mttst be Feviewed and apffoved
agFiOtIftWal a&iSOFy baa d established ttadeF G.S. 106 739 OF some -miner
(4)
establis-hed tindef G.S. 106 :739
(55,) The minimum size, including acreage, number of tracts, and appropriate
proximity of multiple tracts of agricultural land, forestland, or horticultural
land that may comprise a voluntary agricultural district.
(b) The purpose of such agricultural districts shall be to increase identity and pride in the
agricultural community and its way of life and to eetion f om awsanee s„;*s decrease
the likelihood of legal disputes, such as nuisance actions between farm owners and their
neighbors, and other negative impacts on properly managed farms. The county or city that
adopted an ordinance under this Part may take such action as it deems appropriate to encourage
the formation of such districts and to further their purposes and objectives.
(c) A county ordinance adopted pursuant to this Part is effective within the
unincorporated areas of the county. A city ordinance adopted pursuant to this Part is effective
within the corporate limits of the city. A city may amend its ordinances in accordance with
G.S. 160A-383.2 with regard to agricultural districts within its planning jurisdiction.
"§ 106-739. Agricultural advisory board.
(a) An ordinance adopted under this Part or Part 3 of this Article shall provide for the
establishment of an agricultural advisory board, organized and appointed as the eetift
that adopted the ofdi anee-shal l deem appf opFiata=by the board of county commissioners or the
city council adopting the ordinance. The county or city that adopted the ordinance may confer
upon this advisory board authority to:
(1) Review and make recommendations or decisions concerning the
establishment and modification of agricultural distFiets,districts. The board of
county commissioners or the city council may make decisions regarding the
establishment and modification of voluntary agricultural districts or may
delegate that authority to the agricultural advisory board. If the authority is
delegated to the agricultural advisory board, the agricultural advisory board's
decisions shall be appealable to the board of county commissioners or city
council by an owner of land that has been denied enrollment in a voluntary_
agricultural district or has been removed from a voluntary agricultural district
by the agricultural advisory board.
la Execute agreements with landowners necessary for enrollment of land in a
voluntary agricultural district.
(2) Review and make recommendations concerning any ordinance or amendment
adopted or proposed for adoption under this Part or Part 3 of this
Aft4ele-,Ajrticle.
(3) Hold public hearings on public projects likely to have an impact on
agricultural operations, particularly if such projects involve condemnation of
all or part of any qualifying €armrfarm.
(4) Advise the governing board of the county or city that adopted the ordinance
on projects, programs, or issues affecting the agricultural economy or way of
life within the eetincounty.
(5) Perform other related tasks or duties assigned by the governing board of the
county or city that adopted the ordinance.
The members of the agricultural advisory board shall be chosen to provide the
broadest possible representation of the geographical regions of the local government and to
Page 2 Session Law 2021-78 Senate Bill 605

represent, to the extent possible, all segments of agricultural production existing within the local
government. A majority of the members of the agricultural advisory board shall be actively
engaged in agriculture.
(c) The agricultural advisory board may, at the discretion of the board of county
commissioners or the city council, utilize an existinglocal ocal government agency for the purpose
of administration, record keeping, and other related tasks or duties.
"§ 106-741. Record notice of proximity to farmlands.
(a) All counties shall require that land records include some form of notice reasonably
calculated to alert a person researching the title of a particular tract that such tract is located
within one-half mile of ,
lif ifig f.,F Of ithi , Ofie half Mile f ., i,,,,t. r-Y ., „it,„-.,i this ie the property line of
any tract of land enrolled in a voluntary agricultural district.
"§ 106-743. Local ordinances.
A county or a city adopting an ordinance under this Part or Part 3 of this Article may consult
with the North Carolina Commissioner of Agriculture or the Commissioner's staff before
adoption, and shall record the ordinance with the Commissioner's office after adoption.
Thereafter, the county or city shall submit to the Commissioner at least once a year, a written
report including the status, pregress-progress, number of enrolled farms and acres, and activities
of its farmland preservation program under this Part or Part 3 of this Article.
"Part 3. Enhanced Voluntary Agricultural Districts.
"§ 106-743.1. Enhanced voluntary agricultural districts.
(a) A county or a municipality may adopt an ordinance establishing an enhanced
voluntary agricultural district. An ordinance adopted pursuant to this Part shall provide:
(1) For the establishment of an enhanced voluntary agricultural district that
initially consists of at least the number of contiguous acres of agricultural land,
and forestland and horticultural land that is part of a qualifying farm under
G.S. 106-737 or the number of qualifying farms deemed appropriate by the
governing board of the county or city adopting the ordinance.
(2) For the formation of the enhanced voluntary agricultural district upon the
execution of a conservation agreement, as defined in G.S. 121-35, that meets
the condition set forth in G.S. 106-743.2 by the landowners of the requisite
acreage to sustain agriculture in the enhanced voluntary agricultural district.
(3) That the form of the agreement under subdivision (2) of this subsection be
reviewed and approved by an agricultural advisory board established under
G.S. 106-739, or other governing board of the county or city that adopted the
ordinance.
(4)
(b) The purpose of establishing an enhanced voluntary agricultural district is to allow a
county or a city to provide additional benefits to farmland beyond that available in a voluntary
agricultural district established under Part 2 of this Article, when the owner of the farmland
agrees to the condition imposed under G.S. 106-743.2. The county or city that adopted the
ordinance may take any action it deems appropriate to encourage the formation of these districts
and to further their purposes and objectives.
(c) A county ordinance adopted pursuant to this Part is effective within the
unincorporated areas of the county. A city ordinance adopted pursuant to this Part is effective
within the corporate limits of the city. A city may amend its ordinances in accordance with
G.S. 160A-383.2 with regard to agricultural districts within its planning jurisdiction.
Senate Bill 605 Session Law 2021-78 Page 3

(d) A county or city ordinance adopted pursuant to this Part may be adopted
simultaneously with the creation of a voluntary agricultural district pursuant to G.S. 106-738.
ALLOW MAGISTRATES TO WAIVE TRIALS FOR STATE FOREST RULE
OFFENSES
SECTION 2.(a) G.S. 7A-273 reads as rewritten:
"§ 7A-273. Powers of magistrates in infractions or criminal actions.
In criminal actions or infractions, any magistrate has power:
(2) In misdemeanor or infraction cases involving alcohol offenses under Chapter
18B of the General Statutes, traffic offenses, hunting, fishing, State park and
recreation area rule offenses under Chapters 113 and 143B of the General
Statutes, State forest rule offenses under Articles 74 and 75 of Chapter 106 of
the General Statutes, boating offenses under Chapter 75A of the General
Statutes, open burning offenses under Article 78 of Chapter 106 of the General
Statutes, and littering offenses under G.S. 14-399(c) and G.S. 14-399(cl), to
accept written appearances, waivers of trial or hearing and pleas of guilty or
admissions of responsibility, in accordance with the schedule of offenses and
fines or penalties promulgated by the Conference of Chief District Judges
pursuant to G.S. 7A-148, and in such cases, to enter judgment and collect the
fines or penalties and costs;
SECTION 2.(b) This section becomes effective December 1, 2021, and applies to
offenses committed on or after that date.
EXEMPT CERTAIN FIRES FROM OPEN BURNING LAWS
SECTION 3.(a) G.S. 106-950 is amended by adding a new subsection to read:
"Ca2l Except in cases where the Commissioner has prohibited all open burning during
periods of hazardous forest fire conditions or during air pollution episodes declared pursuant to
Article 2 1 B of Chapter 143 of the General Statutes, this Article does not apply to any fires started,
or caused to be started, for cooking, warming, or ceremonial events, if the fire is confined (i)
within an enclosure from which burning material may not escape or ii within a protected area
Mon which a watch is being maintained and which is provided with adequate fire protection
equipment."
SECTION 3.(b) This section becomes effective December 1, 2021, and applies to
offenses committed on or after that date.
FOREST SERVICE OVERTIME MODIFICATION
SECTION 4.(a) G.S. 106-903 reads as rewritten:
"§ 106-903. Overtime compensation for forest fire fighting.
The Department shall, within funds appropriated to the Department, provide either monetary
overtime compensation or compensatory leave at an hour -for -hour rate, at its discretion, to the
„ramemployees of the North Carolina Forest Service who are exempt from the Fair Labor
Standards Act and involved in fighting forest €+es:fires for overtime earned while conducting
fire suppression duties as defined in G.S. 106-955. If the Department provides compensatory
leave for overtime earned, it shall be provided in a manner consistent with the State's general
compensator.. time for exempt employees established by the Office of State Human
Resources."
SECTION 4.(b) This section is effective when it becomes law and applies to
overtime earned on or after that date.
Page 4 Session Law 2021-78 Senate Bill 605

INCREASE PUNISHMENT FOR TIMBER LARCENY AND INCREASE CIVIL
PENALTIES FOR DAMAGING TIMBER OR AGRICULTURAL COMMODITIES
SECTION 5.(a) G.S. 14-135 reads as rewritten:
"§ 14-135. Cutting, ' Larceny of timber.
(a) Offense. — Except as otherwise provided in subsection (b) of this section, a person
commits the offense of larceny of timber if the person does any of the following_:
if airyp2f6irnr not being the bona fide o neF hefee4r shall knowingly arra
log off the pfopefty of anothef, the pefson shall be ptinished the same a
G.S. 14 Knowingly and willfully cuts down, injures, or removes anX
timber owned by another person, without the consent of the owner of the land
or the owner of the timber, or without a lawful easement running with the land.
(22,) Buys timber directly from the owner of the timber and fails to make payment
in full to the owner by (i) the date specified in the written timber sales
agreement or (ii) if there is no such agreement, 60 days from the date that the
buyer removes the timber from the property.
Exceptions. — The following are exceptions to the offense set forth in subsection (a)
of this section:
A person is not guilty of an offense under subdivision (1) of subsection (a) of
this section if the person is an employee or agent of an electric power supplier,
as defined in G.S. 62-133.8, and either of the following conditions is met:
a. The person believed in good faith that consent of the owner had been
obtained prior to cutting down, injuring, or removing the timber.
b. The person believed in good faith that the cutting down, injuring, or
removing of the timber was permitted by a utility easement or was
necessary to remove a tree hazard. For purposes of this
sub -subdivision, the term "tree hazard" includes a dead or dying tree,
dead parts of a living tree, or an unstable living tree that is within
striking distance of an electric transmission line, electric distribution
line, or electric equipment and constitutes a hazard to the line or
equipment in the event of a tree failure.
A person is not guilty of an offense under subdivision (2) of subsection (a) of
this section if either of the followiniz conditions is met:
a. The person remitted payment in full within the time period set in
subdivision (2) of subsection (a) of this section to a person he or she
believed in good faith to be the rightful owner of the timber.
b. The person remitted payment in full to the owner of the timber within
the 10-day period set forth in subsection (c) of this section.
(c) Prima Facie Evidence. — An owner of timber who does not receive payment in full
within the time period set in subdivision (2) of subsection (a) of this section matey the timber
buyer in writing of the owner's demand for payment at the timber buyer's last known address by
certified mail or by personal delivery. The timber buyer's failure to make payment in full within
10 days after the mailing or personal delivery authorized under this subsection shall constitute
prima facie evidence of the timber buyer's intent to commit an offense under subdivision (2) of
subsection (a) of this section.
Penalty; Restitution. — A person who commits an offense under subsection (a) of this
section is guilty of a Class G felony. Additionally, a defendant convicted of an offense under
subsection (a) of this section shall be ordered to make restitution to the timber owner in an amount
equal to either of the following:
Senate Bill 605 Session Law 2021-78 Page 5

Three times the value of the timber cut down, injured, or removed in violation
of subdivision (1) of subsection (a) of this section.
Three times the value of the timber bought but not paid for in violation of
subdivision (2) of subsection (a) of this section.
Restitution shall also include the cost incurred by the owner to determine the value of the
timber. For purposes of subdivisions (1) and (2) of this subsection, "value of the timber" shall be
based on the stumpage rate of the timber.
(e) Civil Remedies. — Nothing in this section shall affect any civil remedies available for
a violation of subsection (a) of this section."
SECTION 5.(b) G.S. 1-539.1 reads as rewritten:
"§ 1-539.1. Damages for unlawful cutting, removal or burning of timber; misrepresentation
of property lines.
(a) Any person, firm or corporation not being the bona fide owner thereof or agent of the
owner who shall without the consent and permission of the bona fide owner enter upon the land
of another and injure, cut or remove any valuable wood, timber, shrub or tree therefrom, shall be
liable to the owner of said land for triple the value of such wood, timber, shrubs or trees
so injured, cut or removed.
(b) If any person, firm or corporation shall willfully and intentionally set on fire, or cause
to be set on fire, in any manner whatever, any valuable wood, timber or trees on the lands of
another, such person, firm or corporation shall be liable to the owner of said lands for double
triple the value of such wood, timber or trees damaged or destroyed thereby.
SECTION 5.(c) G.S. 1-539.213 reads as rewritten:
"§ 1-539.2B. Double -Triple damages for injury to agricultural commodities or production
systems; define value of agricultural commodities grown for educational, testing,
or research purposes.
(a) Any person who unlawfully and willfully injures or destroys any other person's
agricultural commodities or production system is liable to the owner for de triple the value
of the commodities or production system injured or destroyed.
SECTION 5.(d) Subsection (a) of this section becomes effective December 1, 2021,
and applies to offenses committed on or after that date. Subsections (b) and (c) of this section
become effective December 1, 2021, and apply to civil actions filed on or after that date.
REQUIRE TIMBER BUYERS AND TIMBER OPERATORS TO PROVIDE A WOOD
LOAD TICKET TO SELLERS OF CERTAIN WOOD PRODUCTS
SECTION 6.(a) Article 22 of Chapter 14 of the General Statutes is amended by
adding a new section to read:
"& 14-135.1. Wood load tickets required for certain wood product sales: exceptions:
penalties.
U Definition. — For purposes of this section, the term "wood product" means trees,
timber, wood, or any combination thereof.
fW Requirement. — Except as provided in this section, whenever a timber buyer or timber
operator purchases wood product by the load directly from a timber grower or seller and the load
is sold by weight, cord, or measure of board feet, the timber buyer or operator shall furnish the
timber grower or seller, within 30 days of the completion of the wood product harvest, a separate,
true, and accurate wood load ticket for each load of wood product removed from the timber
grower's or seller's property. At a minimum, each wood load ticket shall include all of the
following information provided by the timber grower or seller who sold the wood product:
The name of the timber grower or seller.
Q The county from which the wood product was severed.
Page 6 Session Law 2021-78 Senate Bill 605

The amount of wood product severed.
The date the wood product was delivered to the timber buyer or timber
operator.
(c) Applicability. - The provisions of this section do not apply to the following:
The sale of wood for firewood only.
(22,) A landowner harvesting and processing their own timber.
Bulk or lump sum sales for an agreed total price for all timber purchased and
sold in one transaction.
Punishment. - Any person who violates this section is guilty of a Class 2
misdemeanor."
SECTION 6.(b) This section becomes effective December 1, 2021, and applies to
offenses committed on or after that date.
EXPAND THE LAWS ENFORCED BY DEPARTMENT OF AGRICULTURE AND
CONSUMER SERVICES LAW ENFORCEMENT OFFICERS
SECTION 7.(a) G.S. 106-897 reads as rewritten:
"§ 106-897. Forest laws defined.
The forest laws consist of -.of all of the following:
(1) G. S. 14 136 to G. S. 14 i nn,Q.S. 14-135 to G.S. 14-140.1.
(2) Articles 74 through 84 of this Chapter.
(3) G.S. 77-13 and G.''1TG.S. 77-14.
(4) Other statutes enacted for the protection of forests and woodlands from fire,
insects, or disease and concerning obstruction of streams and ditches in forests
and woodlands; oodlands.
(5) Regulations and ordinances adopted under the authority of the above statutes."
SECTION 7.(b) This section becomes effective December 1, 2021, and applies to
offenses committed on or after that date.
REQUIRE PRODUCTION OF ELECTRONIC RECORDS FOR DEPARTMENT OF
AGRICULTURE AND CONSUMER SERVICES RECORD AUDITS
SECTION 8.(a) G.S. 106-92.8 reads as rewritten:
"§ 106-92.8. Tonnage fees: reporting system.
For the purpose of defraying expenses connected with the registration, inspection and
analysis of the materials coming under this Article, each manufacturer or registrant shall pay to
the Department of Agriculture and Consumer Services tonnage fees in addition to registration
fees as follows: for agricultural liming material, fifty cents (500) per ton; for landplaster, fifty
cents (500) per ton; excepting that these fees shall not apply to materials which are sold to
fertilizer manufacturers for the sole purpose for use in the manufacture of fertilizer or to materials
when sold in packages of 10 pounds or less.
Any manufacturer, importer, jobber, firm, corporation or person who distributes materials
coming under this Article in this State shall make application for a permit to report the materials
sold and pay the tonnage fees as set forth in this section.
The Commissioner of Agriculture shall grant such permits on the following conditions: The
applicant's agreement *'' l�to keep such records as may be necessary to indicate accurately
the tonnage of liming materials, etc., sold in the State and lithe applicant's agreement for the
Commissioner or 4ti-s-the Commissioner's authorized representative to examine such records to
verify the tonnage statement. If the records are available electronically, the electronic records
shall be made available to the Commissioner or the Commissioner's authorized representative.
The registrant shall report quarterly and pay the applicable tonnage fees quarterly, on or before
the tenth day of October, January, April, and July of each year. The report and payment shall
cover the tonnage of liming materials, etc., sold during the preceding quarter. The report shall be
Senate Bill 605 Session Law 2021-78 Page 7

on forms furnished by the Commissioner. If the report is not filed and the tonnage fees paid by
the last day of the month in which it is due, or if the report be false, the amount due shall bear a
penalty of ten percent (10%) which shall be added to the tonnage fees due. If the report is not
filed and the tonnage fees paid within 60 days of the date due, or if the report or tonnage be false,
the Commissioner may revoke the permit and cancel the registration."
SECTION 8.(b) G.S. 106-277.12 reads as rewritten:
"§ 106-277.12. Records.
All persons transporting or delivering for transportation, selling, offering or exposing for sale
agricultural or vegetable seeds if their name appears on the label shall keep for a period of two
years a file sample and a complete record of such seed, including invoices showing lot number,
kind and variety, origin, germination, purity, treatment, and the labeling of each lot. The
Commissioner or the Commissioner's duly authorized agents shall have the right to inspect
such records in connection with the administration of this Article at any time during customary
business hours. If the records are available electronically, the electronic records shall be made
available to the Commissioner or the Commissioner's authorized representative."
SECTION 8.(c) G.S. 106-284.40(c)(2) reads as rewritten:
"(2) Keep such records as may be necessary or required by the Commissioner to
indicate accurately the tonnage of commercial feed distributed in this State,
and the Commissioner or lithe Commissioner's duly designated agent shall
have the right to examine such records during normal business hours, to verify
statements of tonnage. If the records are available electronically, the electronic
records shall be made available to the Commissioner or the Commissioner's
authorized representative. Failure to make an accurate statement of tonnage
or to pay the inspection fee or comply as provided herein shall constitute
sufficient cause for the cancellation of all registrations on file for the
distributor."
SECTION 8.(d) G.S. 106-671(b) reads as rewritten:
"(b) Reporting System. — Each manufacturer, importer, jobber, firm, corporation or person
who distributes commercial fertilizers in this State shall make application to the Commissioner
for a permit to report the tonnage of commercial fertilizer sold and shall pay to the North Carolina
Department of Agriculture and Consumer Services an inspection fee of fifty cents (500) per ton.
The Commissioner is authorized to require each such distributor to keep such records as may be
necessary to indicate accurately the tonnage of commercial fertilizers sold in the State, and as are
satisfactory to the Commissioner. Such records shall be available to the Commissioner, or the
Commissioner's duly authorized representative, at any and all reasonable hours for the purpose
of making such examination as is necessary to verify the tonnage statement and the inspection
fees paid. If the records are available electronically, the electronic records shall be made available
to the Commissioner or the Commissioner's authorized representative. Each registrant shall
report monthly the tonnage sold to non -registrants on forms furnished by the Commissioner.
Such reports shall be made and inspection fees shall be due and payable monthly on the fifteenth
of each month covering the tonnage and kind of commercial fertilizers sold during the past
month. If the report is not filed and the inspection fee paid by the last day of the month it is due,
the amount due shall bear a penalty of ten percent (10%), which shall be added to the inspection
fee due. If the report is not filed and the inspection fee paid within 60 days of the date due, or if
the report or tonnage be false, the Commissioner may revoke the permit."
TOBACCO TRUST FUND COMIVIISSION ADNIIN EXPENSES
SECTION 9. G.S. 143-717(i) reads as rewritten:
"(i) Limit on Operating and Administrative Expenses. — All administrative expenses of
the Commission shall be paid from the Fund. No more than thFee htmdr-ed fifty thotisand dollars
three hundred seventy-five thousand dollars ($375,000�may be used each fiscal year
Page 8 Session Law 2021-78 Senate Bill 605

for administrative and operating expenses of the Commission and its staff, provided that the
Commission may annually adjust the administrative expense cap imposed by this subsection, so
long as that any cap increase does not exceed the amount necessary to provide for statewide
salary and benefit adjustments enacted by the General Assembly."
WORKERS' COMPENSATION DEFINITION CLARIFICATION
SECTION 10. G.S. 97-2 reads as rewritten:
"§ 97-2. Definitions.
When used in this Article, unless the context otherwise requires:
(1) Employment. — The term "employment" includes employment by the State
and all political subdivisions thereof, and all public and quasi -public
corporations therein and all private employments in which three or more
employees are regularly employed in the same business or establishment or in
which one or more employees are employed in activities which involve the
use or presence of radiation, except agriculture and domestic services, unless
10 or more full-time nonseasonal agricultural workers are regularly employed
by the employer and an individual sawmill and logging operator with less than
10 employees, who saws and logs less than 60 days in any six consecutive
months and whose principal business is unrelated to sawmilling or logging.
For purposes of this section, "agriculture" has the same meaning as in
G.S. 106-581.1.
CREATE A NEW GENERAL PERMIT FOR FARMS WITH FARM DIGESTER
SYSTEMS
SECTION 11.(a) G.S. 143-213 reads as rewritten:
"§ 143-213. Definitions.
Unless the context otherwise requires, the following terms as used in this Article and Articles
21A of this Chapter are defined as follows:
Sa The terms "animal waste" and "animal waste management system" have the
same meaning as in G.S. 143-215.1OB.
12a The term "farm digester system" means a system, including all associated
equipment and lagoon covers, by which gases are collected and processed
from an animal waste management system for the digestion of animal biomass
for use as a renewable energy resource. A farm digester system shall be
considered an agricultural feedlot activity within the meaning of "animal
operation" and shall also be considered a part of an "animal waste
management system" as those terms are defined in G.S. 143-215.1OB.
12b The term "lagoon cover" means a structure or material that covers a lagoon
receiving animal waste as part of an animal waste management system. For
purposes of this subdivision, the term "lagoon" includes a lagoon as defined
in G.S. 106-802(1) or a storage pond.
14a The term "renewable animal biomass energy resource" means any renewable
energy resource, as defined in G.S. 62-133.8(a)(8), that utilizes animal waste
as a biomass resource, including a farm digester system.
SECTION IL(b) G.S. 143-215.1OC reads as rewritten:
"§ 143-215.1OC. Applications and permits.
Senate Bill 605 Session Law 2021-78 Page 9

(a) No person shall construct or operate an animal waste management system for an
animal operation or operate an animal waste management system for a dry litter poultry facility
that is required to be permitted under 40 Code of Federal Regulations § 122, as amended at 73
Federal Register 70418 (November 20, 2008), without first obtaining an individual permit or a
general permit under this Article. The Commission shall develop a system of individual and
general permits for animal operations and dry litter poultry facilities based on species, number
of animals, and other relevant factors. The Commission shall develop a general permit for animal
operations that includes authorization for the permittee to construct and operate a farm digester
system.-
sy tem. It is the intent of the General Assembly that most animal waste management systems be
permitted under a general permit. The Commission, in its discretion, may require that an animal
waste management system -system, including an animal waste management system that utilizes a
farm digester system,be permitted under an individual permit if the Commission determines that
an individual permit is necessary to protect water quality, public health, or the environment. After
the general permit for animal operations that includes authorization for the permittee to construct
and operate a farm digester system has been issued, the decision to require an individual permit
shall not be based solely on the fact that the animal waste management system utilizes a farm
digester system.The owner or operator of an animal operation shall submit an application for a
permit at least 180 days prior to construction of a new animal waste management system or
expansion of an existing animal waste management system and shall obtain the permit prior to
commencement of the construction or expansion. The owner or operator of a dry litter poultry
facility that is required to be permitted under 40 Code of Federal Regulations § 122, as amended
at 73 Federal Register 70418 (November 20, 2008), shall submit an application for a permit at
least 180 days prior to operation of a new animal waste management system.
(c) The Commission shall act on a permit application as quickly as possible and may
conduct any inquiry or investigation it considers necessary before acting on an application.
Cc I Failure of the Commission to make a final permitting decision involving a notice of
intent for a certificate of coverage under a general permit for animal operations that includes
authorization for the permittee to construct and operate a farm digester system within 90 days
the Commission's receipt of a completed notice of intent shall result in the deemed approval of
coverage under the permit. If the Commission fails to act within 90 days of the Commission's
receipt of a completed notice of intent, the permittee may request that the Commission provide
written confirmation that the notice of intent is deemed approved. Failure to provide this written
confirmation within 10 days of the request shall serve as a basis to seek a contested case hearing
pursuant to Article 3 of Chapter 150B of the General Statutes. Unless all parties to the case agree
otherwise in writing, the administrative law judge shall issue a final decision or order in the
contested case no later than 120 days after its commencement pursuant to G.S. 15013-23,
provided that, upon written request of the administrative law judge or any party to the hearing,
the Chief Administrative Law Judge may extend this deadline for good cause shown, no more
than two times, for not more than 30 dasper extension. Upon review of a failure to act on a
notice of intent, the administrative law judge may either i) direct the Commission to issue a
written certificate of coverage under the general permit or (ii) deny the petition.
SECTION 11.(c) For purposes of this section, the following definitions apply:
(1) "Certificate of coverage" means an approval granted to a person who meets
the requirements of coverage under a general permit as provided in 15A
NCAC 02T .0111 (Conditions for Issuing General Permits).
(2) "Commission" means the Environmental Management Commission.
(3) "Notice of intent" means a request for coverage under a general permit using
forms approved by the Division of Water Resources of the Department of
Environmental Quality.
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SECTION 11.(d) The Commission shall immediately initiate the process of
developing and issuing a general permit for animal operations that includes authorization for the
permittee to construct and operate a farm digester system. In addition to conditions required to
describe and authorize the construction, monitoring, and proper operation of farm digester
systems, the general permit shall contain the same conditions that are included in the currently
existing general permits for animal operations. The general permit shall become effective no later
than 12 months after the effective date of this section and shall expire on the later of September
30, 2024, or the effective date of the next version of the currently existing general permit for
animal operations.
SECTION 11.(e) Until the general permit issued under subsection (d) of this section
becomes effective, any animal operation that holds a general or individual permit that (i) is in
effect on the effective date of this section and (ii) authorizes the construction and operation of a
farm digester system may construct and continue to operate the farm digester system as
authorized by that permit. For any animal operation that holds a general or individual permit that
is in effect on the effective date of this section, but that does not authorize the construction and
operation of a farm digester system, an operator may submit a notice of intent to be covered under
the general permit to be developed under subsection (d) of this section. If the submitted notice of
intent is incomplete, the Commission shall notify the applicant of the deficiency in the notice of
intent. When an operator submits a completed notice of intent, the Commission shall, within 90
days of receipt of the completed notice of intent, either issue a certificate of coverage allowing
the operator to construct and operate the farm digester system or notify the operator of the basis
for the denial of the certificate of coverage. If the Commission fails to take action on the notice
of intent within 90 days, authorization to construct and operate a farm digester system under the
existing general permit shall be deemed approved.
SECTION 11.(f) Nothing in this section shall apply to permits for facilities that are
required to be permitted under 40 C.F.R. § 122, as amended at 73 Federal Register 70418
(November 20, 2008).
SECTION 11.(g) G.S. 106-806 reads as rewritten:
"§ 106-806. Construction or renovation of swine houses at preexisting swine farms.
(a) As used in this section, the following definitions apply:
(1) "Farm digester system" means a farm digester system as defined in
G.S.143-213(12a).
"New swine farm" means any swine farm the operations of which were sited
on or after October 1, 1995. "New swine farm" does not include any
preexisting swine farm, even if a subsequent site evaluation is performed on
or after October 1, 1995, at the preexisting swine farm.
(2)Q "Preexisting swine farm" means any swine farm either the operations of which
were begun prior to October 1, 1995, or the site evaluation of which was
approved prior to October 1, 1995, by the Department of Environmental
Quality under Part 1A of Article 21 of Chapter 143 of the General Statutes.
(3)(4) "Renovation or construction," "renovated or constructed," and any similar
phrase mean any activity to renovate, construct, reconstruct, rebuild, modify,
alter, change, restructure, upgrade, improve, enlarge, reduce, move, or
otherwise perform construction work on a swine house that is a component of
a swine farm.
Ue) Notwithstanding any other provision of this Article, a farm digester system that is a
component of a preexisting swine farm may be constructed or renovated if the construction or
renovation of the farm digester system satisfies all of the following requirements:
Senate Bill 605 Session Law 2021-78 Page 11

read:
The construction or renovation of the farm digester system does not result in
an increase in the permitted capacity of the swine farm, as measured by the
annual steady state live weight capacity of the swine farm.
The construction or renovation of the farm digester system does not result in
requiring an increase in the total permitted capacity of the animal waste
management system or systems located at the swine farm.
The construction or renovation of the farm digester system shall comply with
the siting requirements set out in G.S. 106-803 to the maximum extent
practicable. Except as provided in subsection (c) of this section, construction
or renovation of the farm digester system shall not result in any portion of the
constructed or renovated farm digester system being located closer to the
building, property, or well that is the object of the siting requirement than any
existing component of the animal waste management system that fails to meet
the siting requirements of G.S. 106-803.
Renovation or construction of a farm digester system shall not be allowed in
the 100-year floodplain."
SECTION 11.(h) G.S. 105-275(8) is amended by adding a new sub -subdivision to
11a2. Notwithstanding sub -subdivision al. of this subdivision,
sub -subdivision a. of this subdivision applies to a farm digester system
as defined in G.S. 143-213(12a)."
SECTION 11.(i) This section is effective when it becomes law.
CLARIFY THE DURATION OF DRIVERS LICENSES FOR H-2A WORKERS
SECTION 12.(a) G.S. 20-7(f)(3) reads as rewritten:
"(3) Duration of license for certain other drivers. — The durations listed in
subdivisions (1), (2) and (2a) of this subsection are valid unless the Division
determines that a license of shorter duration should be issued when the
applicant holds valid documentation issued by, or under the authority of, the
United States government that demonstrates the applicant's legal presence of
limited duration in the United States. In no event shall a license of limited
duration expire later than the expiration of the authorization for the applicant's
legal presence in the United States. A drivers license issued to an H-2A worker
expires three years after the date of issuance of the H-2A worker's visa,
provided, if at any time during that three -,period an H-2A worker's visa
duration is not extended by United States Citizenship and Immigration
Services, the license expires on the date the H-2A worker's visa expires. For
purposes of this subdivision, the term "H-2A worker" means a foreign worker
who holds a valid H-2A visa pursuant to the Immigration and Nationality Act
(8 U.S.C. 6 1101(a)(15)(H)(ii)(a)) and who is leizally residing in this State."
SECTION 12.(b) This section is effective when it becomes law and applies to
applications for licenses submitted on or after that date.
AG COST SHARE TECHNICAL CORRECTION
SECTION 13A. G.S. 106-850(b)(2) reads as rewritten:
"(2) The program shall initially ; elti e the r o ent 16 ,,utFient sensitive .:.ate fshe
eetinfies an 1:7 ,., difiena e etmfi es. include the entire State."
SEVERABILITY CLAUSE AND EFFECTIVE DATE
SECTION 14.(a) If any provision of this act or the application thereof to any person
or circumstances is held invalid, such invalidity shall not affect other provisions or applications
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of this act that can be given effect without the invalid provision or application, and, to this end,
the provisions of this act are declared to be severable.
SECTION 14.(b) Except as otherwise provided, this act is effective when it becomes
law.
In the General Assembly read three times and ratified this the 301h day of June, 2021.
s/ Phil Berger
President Pro Tempore of the Senate
s/ Destin Hall
Presiding Officer of the House of Representatives
s/ Roy Cooper
Governor
Approved 12:05 p.m. this 2nd day of July, 2021
Senate Bill 605 Session Law 2021-78 Page 13