GENERAL ASSEMBLY OF NORTH CAROLINA SESSION 2025 H 1 HOUSE BILL 881 Short Title: PFAS Free NC. (Public) Sponsors: Representatives Harrison, Butler, Colvin, and Cohn (Primary Sponsors). For a complete list of sponsors, refer to the North Carolina General Assembly web site. Referred to: Rules, Calendar, and Operations of the House April 10, 2025 *H881 -v-1* A BILL TO BE ENTITLED 1 AN ACT TO BAN THE MA NUFACTURE, USE, AND DISTRIBUTION OF PFAS AND 2 PFAS-CONTAINING PROD UCTS WITHIN THE STAT E, TO IMPLEMENT 3 MEASURES TO PREVENT AND ADDRESS CONTAMIN ATION FROM THE 4 DISCHARGE OF PFAS AN D 1,4-DIOXANE IN THE STATE, AND TO DIRECT 5 VARIOUS AGENCIES TO STUDY MATTERS ASSOCI ATED WITH PFAS 6 CONTAMINATION IN ORD ER TO PROTECT THE PUBLIC HEALTH. 7 The General Assembly of North Carolina enacts: 8 9 PART I. BAN PFAS 10 SECTION 1. Article 21A of Chapter 143 of the General Statutes is amended by 11 adding a new Part to read: 12 "Part 8. Ban Manufacture, Use, and Distribution of Certain Toxic Chemicals. 13 "§ 143-215.104LL. Prohibition on manufacture, use, and distribution of PFAS within the 14 State. 15 (a) No person may knowingly do any of the following: 16 (1) Manufacture PFAS for use within the State or manufacture PFAS for export 17 from the State. 18 (2) Use any PFAS for the production of any product within the State, or for export 19 from the State, except for products specifically authorized or required to 20 contain PFAS under federal law. 21 (3) Process or distribute in commerce any PFAS, or any product containing 22 PFAS, for use within the State or for export from the State, except for products 23 specifically authorized or required to contain PFAS under federal law. 24 (b) For purposes of this section, "PFAS" means per-fluoroalkyl and poly-fluoroalkyl 25 substances, a class of fluorinated organic chemicals containing at least one fully fluorinated 26 carbon atom. 27 "§ 143-215.104MM. Civil penalties. 28 (a) The Secretary may assess a civil penalty of not more than five thousand dollars 29 ($5,000) or, if the violation involves a hazardous waste, as defined in G.S. 130A-290, of not more 30 than twenty-five thousand dollars ($25,000) against any person who violates a requirement of 31 this Part. 32 (b) If any action or failure to act for which a penalty may be assessed under subsection 33 (a) of this section is a repeat offense, the Secretary may assess a penalty not to exceed ten 34 General Assembly Of North Carolina Session 2025 Page 2 House Bill 881-First Edition thousand dollars ($10,000) per occurrence. A penalty for multiple occurrences shall not exceed 1 two hundred thousand dollars ($200,000) in any month. 2 (c) In determining the amount of the penalty, the Secretary shall consider the factors set 3 out in G.S. 143B-282.1(b). The procedures set out in G.S. 143B-282.1 shall apply to civil penalty 4 assessments that are presented to the Commission for final agency decision. 5 (d) The Secretary shall notify any person assessed a civil penalty for the assessment and 6 the specific reasons therefor by registered or certified mail or by any means authorized by 7 G.S. 1A-1, Rule 4. Contested case petitions shall be filed pursuant to G.S. 150B-23 within 30 8 days of receipt of the notice of assessment. 9 (e) Requests for remission of civil penalties shall be filed with the Secretary. Remission 10 requests shall not be considered unless made within 30 days of receipt of the notice of assessment. 11 Remission requests must be accompanied by a waiver of the right to a contested case hearing 12 pursuant to Chapter 150B of the General Statutes and a stipulation of the facts on which the 13 assessment was based. Consistent with the limitations in G.S. 143B-282.1(c) and (d), remission 14 requests may be resolved by the Secretary and the violator. If the Secretary and the violator are 15 unable to resolve the request, the Secretary shall deliver the remission request and the 16 recommended action to the Committee on Civil Penalty Remissions of the Environmental 17 Management Commission appointed pursuant to G.S. 143B-282.1(c). 18 (f) If any civil penalty has not been paid within 30 days after notice of assessment has 19 been served on the violator, the Secretary shall request the Attorney General to institute a civil 20 action in the superior court of any county in which the violator resides or the violator's principal 21 place of business is located in order to recover the amount of the assessment, unless the violator 22 contests the assessment as provided in subsection (d) of this section or requests remission of the 23 assessment in whole or in part as provided in subsection (e) of this section. If any civil penalty 24 has not been paid within 30 days after the final agency decision or order has been served on the 25 violator, the Secretary shall request the Attorney General to institute a civil action in the superior 26 court of any county in which the violator resides or the violator's principal place of business is 27 located to recover the amount of the assessment. A civil action must be filed within three years 28 of the date the final agency decision or court order was served on the violator." 29 30 PART II. REQUIREMENT S FOR POLLUTANT DISC HARGE DISCLOSURE; PF AS 31 AND 1,4-DIOXANE DISCHARGE LIMITATIONS 32 SECTION 2. G.S. 143-215.1 reads as rewritten: 33 "§ 143-215.1. Control of sources of water pollution; permits required. 34 … 35 (l) The Department shall require that every person applying for an individual National 36 Pollutant Discharge Elimination System (NPDES) permit fully disclose in their application for a 37 new permit, or for a permit renewal, each pollutant in the person's discharge that is reasonably 38 expected to be at or above the practical quantitation limit (PQL) for the pollutant. The pollutant's 39 concentration to be discharged shall be disclosed, as well as the chemical abstracts service (CAS) 40 number for each pollutant if available. If the CAS number is unavailable, the pollutant shall 41 otherwise be described in sufficient detail so as to adequately inform the Department of the 42 pollutant's characteristics. 43 (m) Any person who is required to obtain an NPDES permit under this Article that 44 receives waste from an industrial user, as that term is defined under 15A NCAC 02H .0903, shall 45 require the industrial user to disclose in the industrial user's application for a new pretreatment 46 permit, or for a pretreatment permit renewal, each pollutant in the industrial user's discharge that 47 is at or above the practical quantitation limit (PQL) for the pollutant. 48 (n) Any person who is required to obtain an NPDES permit under this Article that 49 receives waste from an industrial user that includes PFAS or 1,4-dioxane shall eliminate these 50 substances prior to discharge into waters of the State, and if elimination of PFAS or 1,4-dioxane 51 General Assembly Of North Carolina Session 2025 House Bill 881-First Edition Page 3 by the NPDES permittee prior to discharge to waters of the State is economically or otherwise 1 impracticable, the NPDES permittee shall require the industrial user to eliminate these substances 2 from the user's discharge. For purposes of this section, "PFAS" means per-fluoroalkyl and 3 poly-fluoroalkyl substances, a class of fluorinated organic chemicals containing at least one fully 4 fluorinated carbon atom." 5 6 PART III. CUSTOMER N OTIFICATION OF DRINK ING WATER SAMPLING 7 RESULTS 8 SECTION 3.(a) G.S. 130A-329 reads as rewritten: 9 "§ 130A-329. Reporting.Reporting and customer notification. 10 (a) Reports required to be submitted under this Article or under rules adopted by the 11 Commission shall be submitted electronically on a form specified by the Department. The 12 Department may waive the requirement for electronic submission of a report if the water system 13 demonstrates that it lacks the technical capability to report electronically. 14 (b) Public water systems subject to drinking water sampling requirements pursuant to the 15 Unregulated Contaminant Monitoring Rule, as adopted under section 1445 of the federal Safe 16 Drinking Water Act, as amended, 42 U.S.C. § 300j-4, shall provide public notice of the drinking 17 water sampling results within 30 days of receiving the sampling results. Public notice must 18 include providing written notice to each customer and posting sampling results on a publicly 19 accessible website." 20 SECTION 3.(b) No later than June 30, 2025, public water systems that have received 21 prior sampling results demonstrating the presence of PFAS in finished drinking water shall 22 provide public notice of the sampling results. Public notice must include providing written notice 23 to each customer and posting sampling results on a publicly accessible website. For purposes of 24 this subsection, "PFAS" means any fluorinated substances that contain at least one fully 25 fluorinated methyl or methylene carbon atom, including any precursors of such substances. 26 27 PART IV. DEPARTMENT OF ENVIRONMENTAL QUA LITY AND 28 ENVIRONMENTAL MANAGE MENT COMMISSION ACTI ON TO ADDRESS PFAS 29 SECTION 4. No later than June 1, 2026, the Department of Environmental Quality 30 shall begin identifying technology-based limits for detectable PFAS in new and renewed 31 National Pollutant Discharge Elimination System (NPDES) permits. Such technology-based 32 limits shall consist of treatments sufficient to reduce detectable PFAS in effluent to non-detect 33 levels. For purposes of this section, the following definitions apply: 34 (1) "Detectable PFAS" means PFAS in an amount such that the presence, 35 individual concentrations, and total concentrations can be assessed by a 36 laboratory method certified by the United States Environmental Protection 37 Agency or approved by the Department. 38 (2) "Non-detect levels" means concentrations of PFAS below 10 ppt as measured 39 by a laboratory method certified by the United States Environmental 40 Protection Agency or approved by the Department. 41 SECTION 5.(a) The Department of Environmental Quality shall study the presence 42 of PFAS in land-applied biosolids, including identifying the most common PFAS that may be 43 present in biosolids, likely categories of sources for any PFAS detected, the propensity of PFAS 44 to migrate off-site from land application sites, and accumulation and persistence of PFAS in soil 45 and water that are downgradient from land application sites. The Department shall report the 46 findings of its study, including recommendations for legislative and Commission action, to the 47 Environmental Management Commission and the Environmental Review Commission no later 48 than September 1, 2026. 49 SECTION 5.(b) If, as a result of the study performed pursuant to subsection (a) of 50 this section, the Department of Environmental Quality finds that PFAS are likely to migrate from 51 General Assembly Of North Carolina Session 2025 Page 4 House Bill 881-First Edition land application sites and accumulate at detectable levels in soil and water that are downgradient 1 from such sites, the Environmental Management Commission shall adopt rules to prevent such 2 migration or accumulation of the pollutant off-site. 3 SECTION 6.(a) The Department of Environmental Quality shall study the presence 4 of PFAS in leachate collected and disposed of from municipal solid waste landfills and 5 construction and demolition debris landfills, including identifying the most common PFAS that 6 may be present in leachate, as well as the effectiveness of treatment technologies in wastewater 7 treatment plants at removing PFAS prior to discharge. The Department shall report the findings 8 of its study, including recommendations for legislative and Commission action, to the 9 Environmental Management Commission and the Environmental Review Commission no later 10 than September 1, 2026. 11 SECTION 6.(b) If, as a result of the study performed pursuant to subsection (a) of 12 this section, the Department of Environmental Quality finds that PFAS in landfill leachate cannot 13 be practicably removed from wastewater prior to discharge, the Environmental Management 14 Commission shall adopt rules to prohibit the disposal of leachate containing detectable PFAS at 15 wastewater treatment plants. 16 SECTION 6.(c) For purposes of this section, "detectable PFAS" means PFAS in an 17 amount such that the presence, individual concentrations, and total concentrations can be 18 assessed by a laboratory method certified by the United States Environmental Protection Agency 19 or approved by the Department. 20 SECTION 7. If, by January 1, 2026, the United States Environmental Protection 21 Agency (USEPA) has not certified a laboratory method for the identification and measurement 22 of PFAS in wastewater, the Department of Environmental Quality shall approve a 23 USEPA-validated laboratory method for this purpose. 24 SECTION 8. The Department of Environmental Quality shall create an inventory of 25 all ongoing direct and indirect discharges of PFAS to the air and surface waters, as well as known 26 and likely instances of PFAS contamination in soil and groundwater. This inventory shall 27 include, at minimum, the location of the discharge, the amount of the ongoing discharge, and the 28 duration of the discharge, to the extent that the Department can determine those parameters. The 29 Department may coordinate with the North Carolina Per- and Poly-fluoroalkyl Substances 30 Testing (PFAST) Network, organized by the North Carolina Policy Collaboratory, or any other 31 entity the Department deems necessary to assemble the inventory of PFAS discharges and 32 contamination. The Department shall report its initial findings to the Environmental Review 33 Commission no later than September 1, 2026, and shall provide quarterly updates on new 34 discharges or contamination to the Environmental Review Commission thereafter. 35 SECTION 9. The Secretaries' Science Advisory Board of the Department of 36 Environmental Quality and the Department of Health and Human Services shall conduct a risk 37 assessment, based on the best available scientific information, of the risks to human health 38 presented by exposures to PFAS present in North Carolina in various media, including air, water, 39 and soil, both as individual toxic substances and as a class of toxic substances. The Secretaries' 40 Science Advisory Board shall report the findings of its risk assessment to the Joint Legislative 41 Oversight Committee on Health and Human Services and the Environmental Review 42 Commission no later than September 1, 2026. 43 44 PART V. DIRECTIVES T O VARIOUS AGENCIES T O STUDY MATTERS 45 ASSOCIATED WITH PFAS CONTAMINATION 46 SECTION 10. The Department of Health and Human Services shall develop and 47 implement a program, in consultation with the Department of Environmental Quality, to (i) study 48 the estimated human exposure to per- and poly-fluoroalkyl substances (PFAS) in the Cape Fear 49 River Basin and (ii) conduct an epidemiological study of populations in the Cape Fear River 50 Basin to identify disparities in disease prevalence that are consistent with long-term exposures to 51 General Assembly Of North Carolina Session 2025 House Bill 881-First Edition Page 5 PFAS. No later than December 31, 2026, the Department shall issue a final report on its findings 1 under these studies, including any recommendations for legislative action, to the Environmental 2 Review Commission. Until such time as the final report is issued, the Department shall submit 3 quarterly reports to the Environmental Review Commission, beginning no later than January 1, 4 2026, on activities conducted pursuant to this section. 5 SECTION 11. The Wildlife Resources Commission shall study the estimated 6 ecological exposures and impacts from PFAS contamination in the Cape Fear River Basin. No 7 later than December 31, 2026, the Commission shall issue a final report on its findings under the 8 study, including any recommendations for legislative action, to the Environmental Review 9 Commission. Until such time as the final report is issued, the Commission shall submit quarterly 10 reports to the Environmental Review Commission, beginning no later than January 1, 2026, on 11 activities conducted pursuant to this section. 12 SECTION 12. The Office of State Budget and Management (OSBM) shall study 13 estimated costs incurred by the State, local governments, businesses, and individuals in response 14 to human and ecological exposure to PFAS. OSBM shall, in consultation with the Department of 15 Environmental Quality and the Attorney General, establish an estimate of costs attributable to 16 each source of PFAS identified in the State. No later than December 31, 2026, OSBM shall issue 17 a final report on its findings under the study, including any recommendations for legislative 18 action, to the Environmental Review Commission. Until such time as the final report is issued, 19 OSBM shall submit quarterly reports to the Environmental Review Commission, beginning no 20 later than January 1, 2026, on activities conducted pursuant to this section. 21 SECTION 13. The North Carolina Policy Collaboratory shall study the ongoing and 22 anticipated future costs of the aggregate impact of the discharge, emission, and contamination of 23 PFAS in North Carolina, including the costs of sampling, testing, cleanup, and decontamination; 24 health care related to PFAS exposure; infrastructure improvements; and any other associated 25 costs. The Collaboratory shall determine anticipated future costs of PFAS discharge, emission, 26 and contamination by extrapolating from the best available scientific information about PFAS 27 risks and impacts. The Collaboratory shall report its findings to the Joint Legislative Oversight 28 Committee on Government Operations, the Joint Legislative Oversight Committee on Health and 29 Human Services, and the Joint Legislative Oversight Committee on Agriculture and Natural and 30 Economic Resources no later than September 1, 2026. 31 SECTION 14. The Environmental Review Commission shall study all statutory and 32 regulatory requirements for disclosing the discharge or release of PFAS or other emerging 33 contaminants to the Department of Environmental Quality and the public, including downstream 34 water users. The Environmental Review Commission shall report its findings and 35 recommendations, including any legislative proposals, to the 2026 Regular Session of the 2025 36 General Assembly upon its convening. 37 SECTION 15. The Environmental Review Commission shall study actions taken by 38 other states to promote and expand the practice of green chemistry to reduce the generation and 39 use of hazardous chemicals and to drive sustainable alternatives to the manufacture and use of 40 PFAS and other emerging contaminants. In conducting its study, the Environmental Review 41 Commission shall examine tax incentives, reporting requirements, regulatory changes, and any 42 other relevant approaches that other states have adopted to promote and expand the practice of 43 green chemistry. The Environmental Review Commission shall report its findings and 44 recommendations, including any legislative proposals, to the 2026 Regular Session of the 2025 45 General Assembly upon its convening. 46 47 PART VI. FUNDING FOR STUDIES CONDUCTED B Y STATE AGENCIES 48 SECTION 16.(a) The sum of two hundred thousand dollars ($200,000) in 49 nonrecurring funds for the 2025-2026 fiscal year is appropriated from the General Fund to the 50 General Assembly Of North Carolina Session 2025 Page 6 House Bill 881-First Edition Department of Environmental Quality to carry out the studies required by Sections 8 and 9 of 1 this act. 2 SECTION 16.(b) The sum of one hundred thousand dollars ($100,000) in 3 nonrecurring funds for the 2025-2026 fiscal year is appropriated from the General Fund to the 4 Department of Health and Human Services to carry out the studies required by Section 10 of this 5 act. 6 SECTION 16.(c) The sum of one hundred thousand dollars ($100,000) in 7 nonrecurring funds for the 2025-2026 fiscal year is appropriated from the General Fund to the 8 Wildlife Resources Commission to carry out the study required by Section 11 of this act. 9 SECTION 16.(d) The sum of one hundred thousand dollars ($100,000) in 10 nonrecurring funds for the 2025-2026 fiscal year is appropriated from the General Fund to the 11 Office of State Budget and Management to carry out the study required by Section 12 of this act. 12 SECTION 16.(e) The sum of one hundred thousand dollars ($100,000) in 13 nonrecurring funds for the 2025-2026 fiscal year is appropriated from the General Fund to the 14 North Carolina Policy Collaboratory to carry out the study required by Section 13 of this act. 15 SECTION 16.(f) This section becomes effective July 1, 2025. 16 17 PART VII. ADDITIONAL FUNDING FOR PFAS MA TTERS 18 SECTION 17.(a) There is appropriated from the General Fund to the Department of 19 Environmental Quality the sum of five million dollars ($5,000,000) in nonrecurring funds for the 20 2025-2026 fiscal year for the Bernard Allen Drinking Water Fund to fund drinking water 21 treatment systems for individuals, businesses, and community water systems with covered wells. 22 For purposes of this section, a "covered well" is a drinking water well contaminated with PFOA 23 above 12 ppt, PFOS above 13 ppt, PFNA above 11 ppt, PFHxS above 18 ppt, or above 20 ppt 24 for the sum of all detectable PFAS. 25 SECTION 17.(b) There is appropriated from the General Fund to the Department of 26 Environmental Quality the sum of five million dollars ($5,000,000) in recurring funds to expand 27 the Department's ambient water quality monitoring activities to identify emerging and other 28 pollutants in waters of the State at locations upstream from surface drinking water intakes. 29 SECTION 17.(c) There is appropriated from the General Fund to the Department of 30 Environmental Quality the sum of one million dollars ($1,000,000) in nonrecurring funds for the 31 2025-2026 fiscal year to develop a strategy to address persistent toxic chemicals in the State's 32 environment. In developing a persistent toxics strategy, the Department shall first develop a 33 planned strategy for the reduction of PFAS in the environment to be known as the "PFAS 34 Chemical Action Plan," which shall serve as a model for development of future chemical action 35 plans for other pollutants. The PFAS Chemical Action Plan shall include, at a minimum, (i) 36 identification of all currently detectable PFAS uses within the State and (ii) identification of 37 options and actions to reduce or eliminate detectable PFAS within the State, including analysis 38 of State and federal laws and policies for that purpose. The Department shall consult with 39 stakeholders in the development of the Plan and shall provide opportunities for public comment. 40 The final PFAS Chemical Action Plan, developed after considering public comments received 41 and the input of stakeholders, shall identify recommendations for legislative action and for 42 Department action, including the adoption of rules. The Department shall finalize the PFAS 43 Chemical Action Plan no later than January 1, 2027, and shall initiate implementation of the Plan 44 no later than April 1, 2027. 45 SECTION 17.(d) There is appropriated from the General Fund to the Department of 46 Environmental Quality the sum of one million dollars ($1,000,000) in nonrecurring funds for the 47 2025-2026 fiscal year to study PFAS destruction and disposal techniques to identify a safe, 48 effective, and scalable technology. For purposes of this section, a "safe technology" means one 49 that does not result in further contamination via air deposition or soil or water contamination. 50 The study shall include an analysis of the effectiveness and safety of current technologies, 51 General Assembly Of North Carolina Session 2025 House Bill 881-First Edition Page 7 including those presently at bench and pilot scales. In the conduct of this study, the Department 1 may coordinate with, and review research conducted by, other entities such as the Strategic 2 Environmental Research and Development Program. The Department shall report its findings, 3 including any recommendations for legislative action necessary to protect public health and the 4 environment, to the Environmental Management Commission and the Environmental Review 5 Commission no later than September 1, 2026. 6 SECTION 17.(e) There is appropriated from the General Fund to the State Water 7 Infrastructure Authority the sum of eighty million dollars ($80,000,000) in nonrecurring funds 8 for the 2025-2026 fiscal year to issue matching grants to water systems to build or improve 9 drinking water treatment systems to substantially reduce public exposure to detectable PFAS. 10 SECTION 17.(f) The Attorney General shall develop and maintain a record of 11 cumulative expenses borne by State agencies and local governments under subsections (a), (d), 12 and (e) of this section. The Attorney General shall report to the General Assembly no later than 13 March 1, 2026, on the cumulative expenses recorded and the State's options to recover damages 14 and costs incurred to protect North Carolinians from PFAS contamination from entities 15 responsible for the introduction of PFAS into the air, water, groundwater, and soil of the State. 16 SECTION 17.(g) For purposes of this section, "detectable PFAS" means PFAS in 17 an amount such that the presence, individual concentrations, and total concentrations can be 18 assessed by a laboratory method certified by the United States Environmental Protection Agency 19 or approved by the Department. 20 SECTION 17.(h) This section becomes effective July 1, 2025. 21 22 PART VIII. SEVERABILITY CLAUSE AND EFFEC TIVE DATE 23 SECTION 18. If any section or provision of this act is declared unconstitutional or 24 invalid by the courts, it does not affect the validity of this act as a whole or any part other than 25 the part so declared to be unconstitutional or invalid. 26 SECTION 19. Except as otherwise provided, this act is effective when it becomes 27 law. 28