North Carolina HB 549: Clarify Powers of State Auditor.

Bill Text

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025

SESSION LAW 2025-83
HOUSE BILL 549

*H549-v-7*
AN ACT TO CLARIFY THE POWERS OF THE STATE AUDITOR, TO MAKE OTHER
CHANGES RELATED TO THE STATE AUDITOR, AND TO ALLOW THE
DEPARTMENT OF REVENUE TO FORCE COLLECT DEBTS OWED TO STATE
AGENCIES THROUGH LEVY AND SALE AND ATTACHMENT AND
GARNISHMENT.

The General Assembly of North Carolina enacts:

PART I. CLARIFY POWERS OF STATE AUDITOR
SECTION 1. G.S. 143-64.24 reads as rewritten:
"§ 143-64.24. Applicability of Article.
This Article shall does not apply to the following agencies:
...
(10) The Office of the State Auditor."
SECTION 2. G.S. 143B-1320(b) reads as rewritten:
"(b) Exemptions. – Except as otherwise specifically provided by law, the provisions of
this Chapter do this Article does not apply to the following entities: the General Assembly, the
Judicial Department, and The University of North Carolina and its constituent institutions.
institutions, and the Office of the State Auditor. These entities may elect to participate in the
information technology programs, services, or contracts offered by the Department, including
information technology procurement, in accordance with the statutes, policies, and rules of the
Department. The election must be made in writing, as follows:
(1) For the General Assembly, by the Legislative Services Commission.
(2) For the Judicial Department, by the Chief Justice.
(3) For The University of North Carolina, by the Board of Governors.
(4) For the constituent institutions of The University of North Carolina, by the
respective boards of trustees.
(5) For the Office of the State Auditor, by the State Auditor."
SECTION 3. G.S. 143B-1350 reads as rewritten:
"§ 143B-1350. Procurement of information technology.
(a) The State CIO is responsible for establishing policies and procedures for information
technology procurement for State agencies.
Notwithstanding Except as otherwise provided by subsection (l) of this section,
notwithstanding any other provision of law, the Department shall procure all information
technology goods and services for participating agencies and shall approve information
technology procurements for separate agencies. The State CIO may cancel or suspend any agency
information technology procurement that occurs without State CIO approval.
...
(l) The Office of the State Auditor is exempt from this Part and may procure information
technology services pursuant to G.S. 147-64.7(b)(1)."
SECTION 4. G.S. 147-64.4 reads as rewritten:
"§ 147-64.4. Definitions.

Page 2 Session Law 2025-83 House Bill 549
The following definitions apply in this Article:
...
(5) Publicly funded entity. – Any individual, private corporation, institution,
association, board, or other organization that receives, disburses, or otherwise
handles State or federal funds."
SECTION 5. G.S. 147-64.6B(b) reads as rewritten:
"(b) The Auditor shall investigate reports of allegations of improper governmental
activities of State agencies and State employees agencies, employees of those agencies, and
publicly funded entities within the scope of authority set forth in G.S. 147-64.6, including
misappropriation, mismanagement, or waste of State resources, fraud, violations of State or
federal law, rule or regulation by State agencies or State employees administering State or federal
programs, and substantial and specific danger to the public health and safety. When the allegation
involves issues of substantial and specific danger to the public health and safety, the Auditor
shall notify the appropriate State agency immediately. When the Auditor believes that an
allegation of improper governmental activity is outside the authority set forth in G.S. 147-64.6,
the Auditor shall refer the allegation to the appropriate State agency responsible for the
enforcement or administration of the matter for investigation. When the Auditor believes that an
allegation of improper governmental activity involves matters set forth in subdivisions (1), (2),
or (3) of this subsection, those matters shall be referred as follows:
(1) Allegations of criminal misconduct to either the State Bureau of Investigation
or the District Attorney for the county where the alleged misconduct occurred.
(2) Allegations of violations of Chapter 138A, Chapter 120C and Article 14 of
Chapter 120 of the General Statutes to the State Ethics Commission.
(3) Allegations of violations of Chapter 163 of the General Statutes to the State
Board of Elections."
SECTION 6. G.S. 147-64.7 reads as rewritten:
"§ 147-64.7. Authority.
(a) Access to Persons and Records. –
(1) The Auditor and the Auditor's authorized representatives shall have ready
access to persons and may examine and copy all books, records, reports,
vouchers, correspondence, files, personnel files, investments, and any other
documentation of any State agency. Upon demand of the Auditor, access shall
extend to databases, datasets, and digital records necessary for any purpose
within the authority of the A