GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
S 1
SENATE BILL 554
Short Title: Farmers Protection Act. (Public)
Sponsors: Senators B. Newton and Barnes (Primary Sponsors).
Referred to: Rules and Operations of the Senate
March 26, 2025
*S554 -v-1*
A BILL TO BE ENTITLED 1
AN ACT TO ENACT THE FARMERS PROTECTION A CT TO PREVENT 2
DISCRIMINATION IN FINANCING AGAINST FARM ERS. 3
The General Assembly of North Carolina enacts: 4
SECTION 1. Article 6 of Chapter 53C of the General Statutes is amended by adding 5
a new section to read: 6
"§ 53C-6-21. Discrimination prohibited. 7
(a) Definitions. – The following definitions apply in this section: 8
(1) Agriculture producer. – A person engaged in the growing of crops or livestock 9
production for retail consumption. 10
(2) ESG commitment. – A bank's decision either to join an initiative or 11
organization whose purpose is any environmental, social, or governance goal 12
or to otherwise commit to any environmental, social, or governance goal. 13
(b) Prohibition. – It is unlawful for a bank to deny or cancel its service to an agriculture 14
producer based, in whole or in part, upon the agriculture producer's greenhouse gas emissions, 15
use of fossil-fuel derived fertilizer, or use of fossil-fuel powered machinery. 16
(c) ESG Commitment. – If a bank has made any ESG commitment related to agriculture, 17
there is a rebuttable presumption that the bank's denial or restriction of a service to an agriculture 18
producer violates this section. A bank may overcome this rebuttable presumption by 19
demonstrating, through clear and convincing evidence, that its denial or restriction of a service 20
was based solely on documented financial considerations rather than an ESG commitment. 21
(d) Annual Report. – By January 1 of each year, a bank shall attest, under penalty of 22
perjury, on a form prescribed by the Commissioner, whether the bank is in compliance with this 23
section. 24
(e) Enforcement. – If a bank violates this section, the Commissioner may bring a civil 25
action to seek an injunction or civil penalty. A court may assess a civil penalty of up to ten 26
thousand dollars ($10,000) per violation. The clear proceeds of a civil penalty assessed under this 27
section shall be remitted to the Civil Penalty and Forfeiture Fund in accordance with 28
G.S. 115C-457.2. 29
(f) Unfair or Deceptive Trade Practice. – A violation of this section is an unfair or 30
deceptive trade practice under G.S. 75-1.1." 31
SECTION 2. G.S. 54B-78 reads as rewritten: 32
"§ 54B-78. Prohibited practices. 33
(a) Any A person or association who shall engage that engages in any either of the 34
following acts or practices shall be is guilty of a Class 1 misdemeanor: 35 General Assembly Of North Carolina Session 2025
Page 2 Senate Bill 554-First Edition
(1) Defamation: Making, publishing, disseminating, or circulating, directly or 1
indirectly, or aiding, abetting, or encouraging the making, publishing, 2
disseminating, or circulating of of, any oral, written, or printed statement 3
which that is false regarding the financial condition of any association. 4
(2) False information and advertising: Making, publishing, disseminating, or 5
circulating or causing, directly or indirectly, to be made published, 6
disseminated, circulated, or otherwise placed before the public in any 7
publication, media, notice, pamphlet, letter, poster, or any other way, an 8
advertisement, announcement, or statement containing any assertion, 9
representation, or statement with respect to the savings and loan business or 10
with respect to any person in the conduct of the savings and loan business 11
which that is untrue, deceptive, or misleading. 12
(b) The provisions of G.S. 53C-6-21 apply to a State association." 13
SECTION 3. G.S. 54C-64 reads as rewritten: 14
"§ 54C-64. Prohibited practices. 15
(a) A person who that engages in any either of the following acts or practices is guilty of 16
a Class 1 misdemeanor: 17
(1) Defamation: Making, publishing, disseminating, or circulating, directly or 18
indirectly, or aiding, abetting, or encouraging the making, publishing, 19
disseminating, or circulating of of, any oral, written, or printed statement that 20
is false regarding the financial condition of any savings bank. 21
(2) False information and advertising: Making, publishing, disseminating, 22
circulating, or otherwise placing before the public in any publication, media, 23
notice, pamphlet, letter, poster, or any other way, an advertisement, 24
announcement, or statement containing any assertion, representation, or 25
statement with respect to the savings bank business or with respect to any 26
person in the conduct of the savings bank business that is untrue, deceptive, 27
or misleading. 28
(3) Repealed by Session Laws 1997-241, s. 2. 29
(b) The provisions of G.S. 53C-6-21 apply to a State savings bank." 30
SECTION 4. Article 14C of Chapter 54 of the General Statutes is amended by adding 31
a new section to read: 32
"§ 54-109.23. Discrimination prohibited. 33
The provisions of G.S. 53C-6-21 apply to a credit union. A credit union shall submit the 34
annual report described in G.S. 53C-6-21(d) to the Administrator, and the Administrator has the 35
enforcement authority described in G.S. 53C-6-21(e)." 36
SECTION 5. This act is effective when it becomes law and applies to acts committed 37
on or after that date. 38