North Carolina § 136-41 - 2. Eligibility for funds; municipalities incorporated since January 1, 1945.

§ 136-41. 2. Eligibility for funds; municipalities incorporated since January 1, 1945.

No municipality shall be eligible to receive funds under G.S. 136-41.1 unless it has conducted the most recent election required by its charter or the general law, whichever is applicable, for the purpose of electing municipal officials. The literal requirement that the most recent required election shall have been held may be waived only: Where the members of the present governing body were appointed by the General Assembly in the act of incorporation and the date for the first election of officials under the terms of that act has not arrived; or, Where validly appointed or elected officials have advertised notice of election in accordance with law, but have not actually conducted an election for the reason that no candidates offered themselves for office. No municipality shall be eligible to receive funds under G.S. 136-41.1 unless it has levied an ad valorem tax for the current fiscal year of at least five cents (5›) on the one hundred dollars ($100.00) valuation upon all taxable property within its corporate limits, and unless it has actually collected at least fifty percent (50%) of the total ad valorem tax levied for the preceding fiscal year; provided, however, that, for failure to have collected the required percentage of its ad valorem tax levy for the preceding fiscal year: No municipality making in any year application for its first annual allocation shall be declared ineligible to receive such allocation; and No municipality shall be declared ineligible to receive its share of the annual allocation to be made in the year 1964. No municipality shall be eligible to receive funds under G.S. 136-41.1 unless it has formally adopted a budget ordinance in substantial compliance with G.S. 159-8 and G.S. 159-13, showing revenue received from all sources, and showing that funds have been appropriated for at least two of the following municipal services if the municipality was incorporated with an effective date prior to January 1, 2000, water distribution; sewage collection or disposal; garbage and refuse collection or disposal; fire protection; police protection; street maintenance, construction, or right-of-way acquisition; or street lighting, or at least four of the following municipal services if the municipality was incorporated with an effective date of on or after January 1, 2000: (i) police protection; (ii) fire protection; (iii) solid waste collection or disposal; (iv) water distribution; (v) street maintenance; (vi) street construction or right-of-way acquisition; (vii) street lighting; and (viii) zoning. The provisions of this section shall not apply to any municipality incorporated prior to January 1, 1945. History (1963, c. 854, ss. 3, 3 1 / 2 ; 1985 (Reg. Sess., 1986), c. 934, ss. 5, 6; 1999-458, s. 5; 2017-102, s. 20.) Local Modification. - Town of Red Cross: 2005-245, s. 2 (fiscal year 2002-2003 only); Community of Gray's Creek: 1999-458, s. 13 (contingent on petition filed before July 1, 2002); Community of Union Cross: 1999-458, s. 13 (contingent on petition filed before July 1, 2002). Editor's Note. - Section 160-410.3, referred to in this section, was repealed by Session Laws 1971, c. 780, s. 13. See now G.S. 159-7 et seq. Session Laws 1993, c. 321, s. 169.1, as amended by Session Laws 2000-165, s. 1.1, provides: "Notwithstanding any other provision of law, the Department of Transportation shall maintain the streets and highways on the State highway system within municipalities that are not eligible for funds under G.S. 136-41.2. The Department of Transportation shall maintain the streets and highways as part of the State secondary system, and maintain the paving priority for the secondary roads the same as if the municipality were not incorporated, as long as the ineligibility for funds under G.S. 136-41.2 continues. The provisions of this section apply only to municipalities incorporated between July 1, 1989, and June 30, 1993 or between June 1, 1978 and June 30, 1978." Session Laws 1993, c. 321, s. 321 provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 1993-95 biennium, the textual provisions of this act shall apply only to funds appropriated for and activities occurring during the 1993-95 biennium." Session Laws 1999-458, s. 12, provides that Section 1 of this act, which amended G.S. 120-163(c), applies with respect to municipalities for which the Joint Legislative Commission on Municipal Incorporations makes recommendations on or after August 13, 1999. Sections 1 through 11 of this act, other than the repeal of G.S. 120-169.1(a), do not apply to any community which first filed a petition with the Commission prior to July 20, 1999. Session Laws 2015-241, s. 29.17D(c), provides: "For the 2015-2016 fiscal year, and notwithstanding any provision of G.S. 136-41.3 to the contrary, the Department of Transportation shall submit by November 1, 2015, the report required under G.S. 136-41.3(b), as amended by subsection (b) of this section, detailing the uses by each municipality of funds received under G.S. 136-41.1 and G.S. 136-41.2 during the preceding year." Session Laws 2015-241, s. 1.1, provides: "This act shall be known as 'The Current Operations and Capital Improvements Appropriations Act of 2015.'" Session Laws 2015-241, s. 33.4, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2015-2017 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2015-2017 fiscal biennium." Session Laws 2015-241, s. 33.6, is a severability clause. Effect of Amendments. - Session Laws 2017-102, s. 20, effective July 12, 2017, substituted "G.S. 159-8 and G.S. 159-13," for "G.S. 160-410.3," in the first sentence of subsection (c).