Bill
HB 733
NC HB 733 lets people with drug felonies qualify for FNS/TANF by opting out of the federal 115(a) ban, with 6-month reinstatement and annual recertification.
Status and effective date
- Introduced: February 19, 2025
- Enacted as Chapter No. 2025-116 (bill actions indicate passage and approval)
- Effective date in bill text: January 1, 2026
Purpose
- To remove state-level barriers that deny food and temporary cash assistance to people with certain felony drug convictions and to reduce administrative burdens by lengthening the routine recertification period for Food and Nutrition Services (FNS/SNAP) to 12 months. The bill directs state agencies to opt out of the federal prohibition (Section 115(a) of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996) that can disqualify people convicted of certain drug felonies from receiving FNS or TANF.
Key provisions
- Opt-out from federal felony-drug ban:
- An individual who is otherwise eligible for the Work First Program and/or Food and Nutrition Services (FNS/SNAP) shall be exempt from the application of federal PRWORA Section 115(a) and shall not be denied assistance solely because of a drug-related felony conviction.
- Reinstatement timing: eligibility may be restored six months after release from custody (or six months after conviction if not committed to custody), provided the individual commits no additional controlled‑substance felony during that period and successfully completes — or continuously participates in — a substance use treatment program deemed appropriate by the area mental health authority.
- County departments of social services are authorized to require substance abuse treatment as a condition of receiving Work First or FNS benefits, but only if treatment funds and programs are available and only to the extent allowed under federal law.
- Recertification interval:
- DHHS must direct county social services agencies to require FNS eligibility recertification every 12 months (annual recertification), unless federal law requires a different schedule.
Who is affected
- Individuals with prior drug-related felony convictions who would otherwise be denied FNS/SNAP or Work First/TANF assistance under the federal ban.
- Current and prospective beneficiaries of Food and Nutrition Services and Work First programs (potentially more people regain or retain benefits).
- County departments of social services and the Department of Health and Human Services — administrative processes, eligibility verification, and program oversight will need to be updated.
- Providers of substance use treatment (where treatment is required/condition of benefits), subject to availability of funds and program capacity.
Procedural/implementation notes and potential impacts
- The bill uses the state’s authority to “opt out” of the federal felony-drug prohibition for benefits. Implementation will require administrative directives from DHHS to county DSS offices and likely updates to eligibility systems and notices.
- Requiring annual recertification (rather than shorter intervals) reduces administrative demand on both recipients and county agencies and may lower interruption of benefits.
- The law conditions required treatment on program/funding availability and compliance with federal rules; counties may face capacity constraints if treatment becomes a widespread condition of eligibility.
- Fiscal impact: the bill could increase program caseloads and benefit expenditures, and will require administrative changes at the county and state level. Specific fiscal estimates are not provided in the bill text.
References
- Amends and replaces G.S. 108A‑25.2 (state exemption from limitations for individuals convicted of certain drug‑related felonies).
- Directs DHHS to set recertification policy for Food and Nutrition Services (FNS/SNAP).
Compiled from official sources — confirm details with the bill’s official record.
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