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Bill

HB 1153

Budgeting Accountability and Transparency.

2025-2026 Session Introduced by Mary Belk and 18 co-sponsors

HB 1153 requires public participation and access in adopting the COAA, making certain budget-request communications public records and funding the process implementation.

Passed 1st Reading
0
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Bill Summary · HB 1153

Summary of HB 1153 (Session 2025, North Carolina)

Title: Budgeting Accountability and Transparency

Sponsor: Representative Butler (with co-sponsors Pricey Harrison, Renee Price, Marcia Morey)

Purpose
- To increase public accountability and transparency in the state budget process, specifically the adoption of the Current Operations Appropriations Act.
- To mandate public participation, public notice, and access to certain budget-related communications, and to remove confidentiality protections for some communications between legislators and others seeking budget provisions or funds.

Key Provisions

1) New rules for adoption of the Current Operations Appropriations Act (COAA)
- Section: Adds G.S. 143C-5-1A
- Requirements before budget adoption votes (second readings in each house or conference reports):
- Public comment period: At least one week for virtual public comments via a portal on the General Assembly website (public comment portal maintained by the Legislative Services Officer).
- Public hearing: At least one public hearing with opportunity for public comments at the State Legislative Building or Legislative Office Building.
- Public deliberation: At least three nonvoting committee meetings discussing the Act (these may be conducted by full Appropriations Committees, subcommittees/area committees, or other standing committees with relevant jurisdiction).
- Distribution of materials: A copy of the Act and the Committee Report (as described in G.S. 143C-5-5) must be provided to all legislators at least five legislative days before any budget adoption votes.
- Nature of the rule: Treated as a procedural rule of the Senate and House unless a contrary rule exists.

2) Public disclosure of budget request communications
- Section: Adds G.S. 120-133.5 (Appropriations communications)
- Provisions:
- Confidentiality removed: Any documents received from state agencies or from individual legislators to legislative employees or to other legislators that document requests for provisions or funding in the COAA are no longer confidential and become public records once the COAA becomes law.
- Protections preserved: This disclosure does not waive attorney-client privilege or the work-product doctrine as they apply to legislators, consistent with existing law (G.S. 120-129).

3) Funding for implementation
- Section 3: Appropriates $250,000 in recurring funds (from the General Fund) for the 2026-2027 fiscal year onward.
- Purpose of funds: Maintenance and operation of the public comment portal and staffing/expenses related to the required public hearings.

4) Effective date
- Section 4: The act becomes law upon enactment and applies to the adoption of the COAA for the fiscal year beginning after the act takes effect.

Impact and who is affected
- Government process:
- The General Assembly would introduce a structured public participation process for COAA adoption, including a mandatory public comment window, hearings, and multiple deliberative meetings.
- Legislators would receive COAA materials (Act and Committee Report) at least five legislative days prior to votes, potentially affecting scheduling and preparation.
- Transparency and records:
- Communications documenting budget requests that were previously confidential would become public records when the COAA is enacted, increasing visibility into how funds are sought and allocated.
- The change preserves professional privilege protections where applicable (attorney-client and work-product).
- Resources:
- A dedicated annual budget of $250,000 to support the public portal, hearings, and related staffing.

Potential considerations
- Increased time and resources required for budget adoption processes due to mandatory public participation and multiple hearings.
- Possible privacy and confidentiality considerations addressed by preserving attorney-client/work-product protections for legislators.
- Practical implications for lawmakers' calendars and staff workload during COAA development and discussions.

Overall
HB 1153 seeks to bolster accountability and openness in North Carolina’s budget process by broadening public participation, formalizing public notice and deliberation procedures, and making certain budget-request communications public, funded with targeted support for implementation.

Compiled from official sources — confirm details with the bill’s official record.

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