GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 2012

SENATE / HOUSE BILL XXX

Short Title: Emerald Isle Beach Preservation Tax. (Local)

Sponsors:

Referred to:

May X, 2012

A BILL ENTITLED

AN ACT TO AUTHORIZE THE TOWN OF EMERALD ISLE TO LEVY A

ONE-CENT MUNICIPAL “BEACH PRESERVATION TAX”.

The General Assembly of North Carolina enacts:

SECTION 1. This act applies to the Town of Emerald Isle only. The Town of Emerald Isle may only place on the ballot initiative and may only use the proceeds for specified beach preservation purposes included in this act.

SECTION 2. Subchapter VIII. of Chapter 105 of the General Statutes is amended by adding a new Article to read:

Article 48. One-Cent (1¢) Municipal “Beach Preservation Tax”

§ 105‑544.  Short title.

This Article is the One‑Cent (1¢) Municipal “Beach Preservation Tax”.

§ 105‑545.  Limitations and Applicability.

This Article applies only to the municipal limits of the Town of Emerald Isle, and shall be administered in a manner identical to the sales and use tax authorized under Article 39 of this Chapter, provided, however, said tax shall not apply to non-prepared food items, groceries, etc. that are not subject to State sales and use tax.

§ 105‑546.  Levy.

(a)        Authority. – If the majority of those voting in a referendum held pursuant to this Article vote for the levy of the tax, the town’s board of commissioners may, by resolution and after 10 days' public notice, levy a municipal “beach preservation tax” at a rate of one percent (1%) on all sales and use transactions subject to Article 39 of this Chapter.

(b)        Vote. – The town’s board of commissioners may contract with the county board of elections to conduct a referendum on the question of whether to levy a “beach preservation tax” in the town as provided in this Article. The election shall be held on a date jointly agreed upon by the towns’ board of commissioners and the board of elections and shall be held in accordance with the procedures of G.S. 163‑287.

(c)        Ballot Question. – The form of the question to be presented on a ballot for a special election concerning the levy of the tax authorized by this Article shall be:

"[ ] FOR          [ ] AGAINST

Beach preservation tax on all sales and use transactions in the Town of Emerald Isle at the rate of one percent (1%), in addition to all other State and local sales and use taxes, to fund eligible beach preservation projects in the town.”

§ 105‑547.  Administration.

Except as provided in this Article, the adoption, levy, collection, administration, and repeal of the additional taxes authorized by this Article shall be in accordance with Article 39 of this Chapter. References to “county” or “counties” within Article 39 of this Chapter shall be interpreted as referring to “municipality” or “municipalities”, respectively, for purposes of the tax authorized by this Article.

§ 105‑548.  Distribution and Use of Taxes.

(a)        Distribution. – The Secretary shall, on a monthly basis, distribute to the Town of Emerald Isle the net proceeds of the tax collected in the town under this Article.

(b)        Use. – The Town of Emerald Isle may use the net proceeds of a tax levied under this Article only for the following purposes:

(1) beach erosion control and hurricane protection projects, including beach nourishment,

(2) dune construction, maintenance, augmentation, and establishment of vegetation, and

(3) all planning, design, permitting, and monitoring activities associated with the activities outlined above.

§105‑549: Reserved for future codification purposes.

SECTION 3. This act is effective when it becomes law.