GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
H 1
HOUSE BILL 873
Short Title: DEQ Agency Bill.-AB (Public)
Sponsors: Representative K. Hall.
For a complete list of sponsors, refer to the North Carolina General Assembly web site.
Referred to: Agriculture and Environment, if favorable, Finance, if favorable, Rules, Calendar,
and Operations of the House
April 10, 2025
*H873 -v-1*
A BILL TO BE ENTITLED 1
AN ACT TO MAKE VARIO US CHANGES TO THE ST ATUTES GOVERNING THE 2
DEPARTMENT OF ENVIRO NMENTAL QUALITY, AS RECOMMENDED BY THE 3
DEPARTMENT OF ENVIRO NMENTAL QUALITY. 4
The General Assembly of North Carolina enacts: 5
6
USE OF TAX-MAINTAINED PROPERTIES FOR PUBLI C HEARINGS 7
SECTION 1.(a) Article 7 of Chapter 143B of the General Statutes is amended by 8
adding a new section to read: 9
"§ 143B-279.21. Use of schools and other public buildings for public hearings. 10
(a) The governing authority having control over (i) public buildings or (ii) schools 11
governed by the governing body of a public school unit which have facilities for group meetings 12
is hereby authorized and directed to permit the use of such buildings without charge, except 13
custodial and utility fees, by the Department for public hearings. Provided, that the use of such 14
buildings or schools by the Department for public hearings shall not be permitted at times during 15
the school day or which would interfere with normal school activities or functions normally 16
carried on in such school buildings, and such use shall be subject to reasonable rules and 17
regulations of the governing body of the public school unit and other governing authorities. 18
(b) The Department of Environmental Quality shall be entitled to use any school 19
governed by the governing body of a public school unit or other State, county, or municipal 20
building, or a part thereof, or any other building, or a part thereof, which is supported or 21
maintained, in whole or in part, by or through tax revenues; provided, however, that this section 22
shall not be construed to permit the Department to use any tax-exempt church property for such 23
purposes without the express consent of the individual church involved for the purpose of 24
conducting public hearings." 25
SECTION 1.(b) G.S. 115C-47 is amended by adding a new subdivision to read: 26
"(70) To Provide Access to School Facilities to the Department of Environmental 27
Quality. – A local board of education shall adopt policies to allow the 28
Department of Environmental Quality to have access to facilities that can 29
facilitate group meetings on school property of a school governed by the local 30
school board pursuant to G.S. 143B-279.21(a)." 31
SECTION 1.(c) Part 2 of Article 14A of Chapter 115C of the General Statutes is 32
amended by adding a new section to read: 33 General Assembly Of North Carolina Session 2025
Page 2 House Bill 873-First Edition
"§ 115C-238.35A. Provide access to school facilities to the Department of Environmental 1
Quality. 2
A charter school shall adopt policies to allow the Department of Environmental Quality to 3
have access to facilities that can facilitate group meetings on charter school property consistent 4
with G.S. 143B-279.21(a)." 5
SECTION 1.(d) Subsections (a), (b), and (c) of this section are effective when they 6
become law and apply beginning with the 2025-2026 school year. 7
8
CLARIFY INACTIVE HAZ ARDOUS SITES RESPONS IBLE PARTY 9
SECTION 2. G.S. 130A-310.7(a) reads as rewritten: 10
"(a) Notwithstanding any other provision or rule of law, and subject only to the defenses 11
set forth in this subsection, any person who: 12
(1) Discharges or deposits; or 13
(2) Contracts or arranges for any discharge or deposit; or 14
(3) Accepts for discharge or deposit; or 15
(4) Transports or arranges for transport for the purpose of discharge or deposit 16
any hazardous substance, the result of which discharge or deposit is the existence of an inactive 17
hazardous substance or waste disposal site, shall be considered a responsible party. Neither an 18
innocent landowner who is a bona fide purchaser of the inactive hazardous substance or waste 19
disposal site without knowledge or without a reasonable basis for knowing that hazardous 20
substance or waste disposal had occurred nor a person whose interest or ownership in the inactive 21
hazardous substance or waste disposal site is based on or derived from a security interest in the 22
property shall be considered a responsible party. A landowner who purchases (i) with knowledge 23
that disposal of hazardous substances or waste occurred on the property or (ii) with a reasonable 24
basis for knowing disposal of hazardous substances or waste occurred on the property shall be 25
considered a responsible party if they conduct any activity that causes exposure to or migration 26
of the existing contamination. A responsible party shall be directly liable to the State for any or 27
all of the reasonably necessary expenses of developing and implementing a remedial action 28
program for such site. The Secretary shall bring an action for reimbursement of the Inactive 29
Hazardous Sites Cleanup Fund in the name of the State in the superior court of the county in 30
which the site is located to recover such sum and the cost of bringing the action. The State must 31
show that a danger to the public health or the environment existed and that the State complied 32
with the provisions of this Part." 33
34
CLARIFY REQUIREMENTS FOR HAZARDOUS WASTE RECYCLING 35
SECTION 3. Article 9 of Chapter 130A of the General Statutes is amended by 36
adding a new section to read: 37
"§ 130A-295.07. Requirements for hazardous waste recycling. 38
(a) For purposes of this section, "off-site recycling facility" means any facility receiving 39
shipments of hazardous waste from off-site to be recycled or processed for recycling through any 40
process conducted at the facility. A facility owned or operated by a generator of hazardous waste 41
to recycle their own waste is not an off-site recycling facility. 42
(b) An off-site recycling facility shall comply with the requirements of this Article and 43
with 15A NCAC 13A .0113. 44
(c) A hazardous waste facility that (i) accepts hazardous waste from off-site for recycling 45
and (ii) meets the definition of "commercial" in G.S. 130A-290 is subject to the requirements of 46
this Article and rules adopted by the Commission applicable to commercial hazardous waste 47
facilities." 48
49
MODIFY PAYMENT OF BR OWNFIELDS PROPERTY R EUSE ACT FEES 50
SECTION 4.(a) G.S. 130A-310.39 reads as rewritten: 51 General Assembly Of North Carolina Session 2025
House Bill 873-First Edition Page 3
"§ 130A-310.39. Fees. 1
(a) The Department shall collect the following fees: 2
(1) A prospective developer who submits an application for a proposed 3
brownfields agreement for review by the Department shall pay an initial fee 4
of two thousand dollars ($2,000). 5
(2) A prospective developer who enters into a brownfields agreement with the 6
Department shall pay pay, on a schedule that the Department may specify, a 7
fee in an amount equal to the full cost to the Department and the Department 8
of Justice of all activities related to the brownfields agreement, including but 9
not limited to negotiation of the brownfields agreement, public notice and 10
community involvement, and monitoring the implementation of and 11
compliance with the brownfields agreement. agreement and requirements of 12
this Part regarding the Notice of Brownfields Property. The procedure by 13
which the amount of this fee is determined shall be established by agreement 14
between the prospective developer and the Department and shall be set out as 15
a part of the brownfields agreement. The fee imposed by this subdivision shall 16
be paid in two installments. The first installment shall be due at the time the 17
prospective developer and the Department enter into the brownfields 18
agreement and shall equal all costs that have been incurred by the Department 19
and the Department of Justice at that time less the amount of the initial fee 20
paid pursuant to subdivision (1) of this subsection. The Department shall not 21
enter into the brownfields agreement unless the first installment is paid in full 22
when due. The second installment shall be due at the time the prospective 23
developer submits a final report certifying completion of remediation under 24
the brownfields agreement and shall include any additional costs that have 25
been incurred by the Department and the Department of Justice, including all 26
costs of monitoring the implementation of the brownfields agreement. 27
(3) Any prospective developer or owner of properties subject to a recorded Notice 28
of Brownfields Property who is out of compliance with the requirements of 29
this Part regarding the Notice shall pay a fee to the Department and the 30
Department of Justice sufficient to cover the costs to the State to enforce or 31
otherwise seek to correct the noncompliance. 32
(b) Fees and interest imposed under this section shall be credited to the Brownfields 33
Property Reuse Act Implementation Account. 34
(c) If a prospective developer fails to pay the full amount of any fee due under this 35
section, interest on the unpaid portion of the fee shall accrue from the time the fee is due until 36
paid at the rate established by the Secretary of Revenue pursuant to G.S. 105-241.21. A lien for 37
the amount of the unpaid fee plus interest shall attach to the real and personal property of the 38
prospective developer and to the brownfields property until the fee and interest is paid. The 39
Department may collect unpaid fees and interest in any manner that a unit of local government 40
may collect delinquent taxes." 41
SECTION 4.(b) G.S. 105-277.13 reads as rewritten: 42
"§ 105-277.13. Taxation of improvements on brownfields. 43
(a) Qualifying improvements on brownfields properties are designated a special class of 44
property under Article V, Sec. 2(2) of the North Carolina Constitution and shall be appraised, 45
assessed, and taxed in accordance with this section. An owner of land subject to a recorded Notice 46
of Brownfields Property under G.S. 130A-310.35 is entitled to the partial exclusion provided by 47
this section for the first five taxable years beginning after completion of qualifying improvements 48
made after the later of July 1, 2000, or the date of the upon which the Department of 49
Environmental Quality provides written confirmation that the prospective developer of that land 50
and the proposed improvements are eligible to receive a brownfields agreement. After property 51 General Assembly Of North Carolina Session 2025
Page 4 House Bill 873-First Edition
has qualified for the exclusion provided by this section, the assessor for the county in which the 1
property is located shall annually appraise the improvements made to the property during the 2
period of time that the owner is entitled to the exclusion. 3
(b) For the purposes of this section, the terms "qualifying improvements on brownfields 4
properties" and "qualifying improvements" mean improvements made to real property that is 5
subject to as prescribed in a brownfields agreement entered into by the Department of 6
Environmental Quality and the owner recorded Notice of Brownfields Property pursuant to G.S. 7
130A-310.32.The Brownfields Property Reuse Act of 1997, Part 5 of Article 9 of Chapter 130A 8
of the General Statutes, as amended. 9
(c) The following table establishes the percentage of the appraised value of the qualified 10
improvements that is excluded based on the taxable year: 11
Year Percent of Appraised Value Excluded 12
Year 1 90% 13
Year 2 75% 14
Year 3 50% 15
Year 4 30% 16
Year 5 10%." 17
SECTION 4.(c) Subsection (a) of this section becomes effective January 1, 2026. 18
Subsection (b) of this section is effective for taxes imposed for taxable years beginning on or 19
after July 1, 2025. 20
21
SOLID WASTE BENEFICIAL REUSE CLARIFICATION 22
SECTION 5.(a) G.S. 130A-309.05 reads as rewritten: 23
"§ 130A-309.05. Regulated wastes; certain exclusions. 24
(a) Certain Wastes Regulated as Nonhazardous. – Notwithstanding other provisions of 25
this Article, the following waste shall be regulated pursuant to this Part: 26
(1) Medical waste; and 27
(2) Ash generated by a solid waste management facility from the burning of solid 28
waste. 29
(b) Management of Ash Generated from Burning of Solid Waste. – Ash generated by a 30
solid waste management facility from the burning of solid waste shall be disposed of in a properly 31
designed solid waste disposal area that complies with standards developed by the Department for 32
the disposal of the ash. The Department shall work with solid waste management facilities that 33
burn solid waste to identify and develop methods for recycling and reusing incinerator ash or 34
treated ash. 35
(c) Recovered Material. – Recovered material is not subject to regulation as permitting 36
requirements for solid waste under this Article. In order for a material that would otherwise be 37
regulated as solid waste to qualify as a recovered material, the The Department may require any 38
person who owns or has control over the material to demonstrate that the material meets the 39
requirements of this subsection. In order to protect public health and the environment, the 40
Commission subsection or may require the person to obtain a beneficial use determination from 41
the Department in accordance with subsection (d) of this section. The Department may adopt 42
rules to implement this subsection. Materials that are accumulated speculatively, as that term is 43
defined under 40 Code of Federal Regulations § 261 (July 1, 2014 Edition), shall not qualify as 44
a recovered material, and shall be subject to regulation as solid waste. In order to qualify as a 45
recovered material, the material. The material shall be managed as a valuable commodity in a 46
manner consistent with the desired use or end use, and all of the following conditions shall be 47
met: 48
(1) Seventy-five percent (75%), by weight or volume, of the recovered material 49
stored at a facility at the beginning of a calendar year commencing January 1, 50 General Assembly Of North Carolina Session 2025
House Bill 873-First Edition Page 5
shall be removed from the facility through sale, use, or reuse by December 31 1
of the same year. 2
(2) The recovered material or the products or by-products of operations that 3
process recovered material shall not be discharged, deposited, injected, 4
dumped, spilled, leaked, or placed into or upon any land or water so that the 5
products or by-products or any constituent thereof may enter other lands or be 6
emitted into the air or discharged into any waters including groundwaters, or 7
otherwise enter the environment or pose a threat to public health and safety. 8
Facilities that process recovered material shall be operated in a manner to 9
ensure compliance with this subdivision. 10
(3) The recovered material shall not be a hazardous waste or have been recovered 11
from a hazardous waste. 12
(4) The recovered material shall not contain significant concentrations of foreign 13
constituents that render it unserviceable or inadequate for sale, or its intended 14
use or reuse. 15
(d) Beneficial Use Determination. – For the purposes of preservation of landfill capacity, 16
economic development, energy savings, and reduction of greenhouse emissions, the Department 17
may determine whether nonhazardous solid waste may be used or reused for a particular site or 18
application as an alternative to disposal at a permitted solid waste management facility as set 19
forth in this subsection. 20
(1) A person seeking a beneficial use determination shall submit an application to 21
the Department. The Department, after a review of an application submitted 22
under this subsection, may take any of the following actions: 23
a. Authorize management of a specified type of nonhazardous solid 24
waste at a site other than a permitted solid waste management facility. 25
b. Issue a beneficial use determination with appropriate conditions for 26
use of specific types of solid waste in construction, land application, 27
or other projects and applications. 28
(2) An applicant for a determination under this subsection shall submit 29
information on forms prescribed by the Department and any additional 30
information required by the Department necessary for a determination under 31
this subsection. In its review of the application and additional information, the 32
Department shall also consider internal research or information submitted by 33
any person or entity concerning the potential hazard to public health or the 34
environment of any type of solid waste. 35
(3) The Department may require submittal of a demonstration that the solid waste 36
is being managed in a manner to protect public health or the environment and 37
may include any of the following as a part of an authorization under 38
subdivision (1) of this subsection: 39
a. Requirements for periodic testing of solid wastes. 40
b. Conditions to ensure that the products or by-products of a material 41
recovered or diverted for beneficial use shall not be discharged, 42
deposited, injected, dumped, spilled, leaked, or placed into or upon 43
any land or water so that the products or by-products or any 44
constituents thereof may enter other lands or be emitted into the air, or 45
discharged into any waters, including groundwaters, or otherwise enter 46
the environment or pose a threat to public health and safety. 47
(4) Approvals granted under this subsection are valid for no longer than five 48
years. Requests for renewal shall be made at least 60 days in advance of the 49
expiration date of the approval. 50 General Assembly Of North Carolina Session 2025
Page 6 House Bill 873-First Edition
(5) The applicant for a determination under this subsection shall submit to the 1
Department on an annual basis a report detailing the usage of material under 2
the approval and certifying compliance with this Article and any applicable 3
rules adopted under this Article. 4
(6) The Department may suspend or revoke an authorization and may modify an 5
authorization if it is determined that the activity is not in compliance with the 6
requirements of applicable laws or rules or if new information is provided to 7
the Department that impacts the determination of protection of public health 8
or the environment. 9
(7) The Department shall provide notice on its website of approved beneficial use 10
determinations. 11
(8) Facilities that manage source separated materials for the purpose of recycling 12
as defined in G.S. 130A-290 are not subject to the provisions of this 13
subsection. 14
(9) The Department may adopt rules implementing this subsection and 15
establishing application fees for a reuse determination under this subsection. 16
All fees collected under this subdivision shall be credited to the Solid Waste 17
Management Account established under G.S. 130A-295.8(a). In determining 18
the amount of the total application fee in rule, the Department shall have the 19
authority to establish separate fee amounts for annual fees for each year based 20
on the length of time for which the approval will be valid as requested by the 21
applicant." 22
SECTION 5.(b) This section becomes effective January 1, 2026. 23
24
EXPAND ELIGIBILITY F OR TARGETED INTEREST RATES ON WATER AND 25
WASTEWATER PROJECTS 26
SECTION 6. G.S. 159G-20(21) reads as rewritten: 27
"(21) Targeted interest rate project. – Either of the following types of projects: 28
a. A project that is awarded a loan from the Drinking Water Reserve or 29
the Wastewater Reserve based on affordability. 30
b. A project that is awarded a loan from the CWSRF or the DWSRF and 31
is in a category for which the Department or federal law encourages a 32
special focus." 33
34
REVISE STEWARDSHIP LAWS 35
SECTION 7. G.S. 143-214.15 reads as rewritten: 36
"§ 143-214.15. Compensatory mitigation for diverse habitats. 37
(a) The Department of Environmental Quality shall seek more net gains of aquatic 38
resources through compensatory mitigation by increasing wetland establishment of diverse 39
habitats, including emergent marsh habitat, shallow open water, and other forested and 40
non-forested wetland habitats. 41
(b) The Department of Environmental Quality shall further establish with the district 42
engineer of the Wilmington District of the United States Army Corps of Engineers compensatory 43
mitigation credit ratios that incentivize the creation or establishment of diverse wetland habitats 44
to support waterfowl and other wildlife. 45
(c) The Department of Environmental Quality shall work in cooperation with the Wildlife 46
Resources Commission to ensure that all purchased mitigation lands or conservation easements 47
on these lands maximize opportunities for public recreation, including hunting, and promote 48
wildlife and biological diversity. prioritize management practices that promote wildlife and 49
biological diversity and, where feasible, provide opportunities for public recreation, including 50
hunting by property owners and lessees. The Department and the Commission shall pursue the 51 General Assembly Of North Carolina Session 2025
House Bill 873-First Edition Page 7
voluntary involvement of third-party groups to leverage resources and ensure that there is no 1
additional cost to private mitigation bankers or the taxpayers in achieving these mitigation 2
credits. 3
(d) The Stewardship Program of the Department of Environmental Quality shall maintain 4
an inventory of all its land holdings and determine how many of those holdings are potential 5
wildlife habitats, either as currently held or with some modification. The Stewardship Program 6
shall maximize use of these mitigation land holdings as ecological research sites and for hunting 7
leases when the Stewardship Program determines it is feasible to do so. 8
(e) If private individuals, corporations, or other nongovernmental entities wish to 9
purchase any of the inventory of land suitable for wildlife habitat, then the Stewardship Program 10
of the Department of Environmental Quality shall issue a request for proposal to all interested 11
respondents for the purchase of the land. The State shall accept a proposal and proceed to dispose 12
of the land only if the Department determines that the proposal meets both of the following 13
requirements: 14
(1) The proposal provides for the maintenance in perpetuity of management 15
measures listed in the original mitigation instrument or otherwise needed on 16
an ongoing or periodic basis to maintain the functions of the mitigation site. 17
(2) Where the functions of the mitigation site include provision of recreation or 18
hunting opportunities to members of the general public, the proposal includes 19
measures needed to continue that level of access. 20
The instrument conveying a property interest in a mitigation site shall be executed in the 21
manner required by Article 16 of Chapter 146 of the General Statutes, and shall reflect the 22
requirements of this subsection. 23
(f) The Department of Environmental Quality shall report to the Environmental Review 24
Commission by March 1 of each year in which there are changes in inventory during the 25
preceding year under the provisions of this section regarding the changes." 26
27
IMPROVEMENT OF CONSERVATION AG REEMENT PROTECTIONS 28
SECTION 8.(a) G.S. 14-130 reads as rewritten: 29
"§ 14-130. Trespass on public lands. 30
If any person shall erect a building on any state-owned lands, or cultivate or remove timber 31
from any such lands, without the permission of the State, he shall be guilty of a Class 1 32
misdemeanor. Moreover, the State can recover from any person cutting timber on its land three 33
times the value of the timber which is cut. For purposes of this section, "state-owned lands" 34
includes lands subject to a conservation agreement where the holder of the agreement is the State 35
or any State agency." 36
SECTION 8.(b) G.S. 1-539.1 reads as rewritten: 37
"§ 1-539.1. Damages for unlawful cutting, removal or burning of timber; misrepresentation 38
of property lines. 39
(a) Any person, firm or corporation not being the bona fide owner thereof or agent of the 40
owner who shall who, without the consent and permission of the bona fide owner enter enters 41
upon the land of another and injure, cut or remove injures, cuts, or removes any valuable wood, 42
timber, shrub or tree therefrom, shall be from that land is liable to the owner of said the land for 43
triple the value of such wood, timber, shrubs or trees so injured, cut or removed. 44
(b) If any person, firm or corporation shall willfully and intentionally set sets on fire, or 45
cause causes to be set on fire, in any manner whatever, any valuable wood, timber or trees on the 46
lands of another, such person, firm or corporation shall be is liable to the owner of said the lands 47
for triple the value of such wood, timber or trees damaged or destroyed thereby. 48
(c) Any person, firm or corporation cutting timber under contract and incurring damages 49
as provided in subsection (a) of this section as a result of a misrepresentation of property lines 50 General Assembly Of North Carolina Session 2025
Page 8 House Bill 873-First Edition
by the party letting the contract shall be entitled to reimbursement from the party letting the 1
contract for damages incurred. 2
(d) For purposes of this section, "owner" includes the holder, as defined in G.S. 121-35, 3
of any conservation agreement which includes the right to cut or prohibit the cutting of timber." 4
5
EFFECTIVE DATE 6
SECTION 9. Except as otherwise provided, this act is effective when it becomes 7
law. 8