North Carolina HB 547: Children's Services Protection Act.

Bill Text

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
H 3
HOUSE BILL 547
Committee Substitute Favorable 4/30/25
Third Edition Engrossed 5/7/25

Short Title: Children's Services Protection Act. (Public)
Sponsors:
Referred to:
March 31, 2025
*H547-v-3*
A BILL TO BE ENTITLED 1
AN ACT TO LIMIT LIABILITY FOR NONGOVERNMENTAL CONTRACTORS 2
WORKING WITH AND FOR CERTAIN PUBLIC AGENCIES. 3
The General Assembly of North Carolina enacts: 4
SECTION 1. Article 31 of Chapter 143 of the General Statutes is amended by adding 5
a new section to read: 6
"§ 143-300.1B. Limited liability for licensed nongovernmental contractors with agencies. 7
(a) The following definitions apply in this section: 8
(1) Nongovernmental contractor. – Any corporation, organization, or association, 9
incorporated or otherwise, that is organized or operating in the State, or an 10
individual operating a facility licensed under Article 2 of Chapter 122C of the 11
General Statutes or Article 1A of Chapter 131D of the General Statutes. 12
(2) Public agency. – The Department of Health and Human Services and any 13
county or local agency administering programs of public assistance pursuant 14
to Chapter 108A of the General Statutes. 15
(b) Any nongovernmental contractor that contracts with the public agency for the 16
provision of services to minors may be held liable for injury or damage caused by the negligence 17
of the nongovernmental contractor but shall not be held liable for the injury or damage caused 18
by the negligence of the public agency, including any officer, employee, volunteer, or agent of 19
the public agency acting within the scope of their employment. 20
(c) The nongovernmental contractor and the public agency shall each bear the costs of 21
defending itself against their respective acts and omissions and claims arising from those acts 22
and omissions. 23
(d) Except as otherwise provided in subsections (b) and (e) of this section, if a tort claim 24
against the nongovernmental contractor arises from or related to the performance of the 25
contracted services to minors, the nongovernmental contractor shall be subject to the monetary 26
limits equivalent to those for a public agency as provided for in G.S. 143-299.2. Any claim 27
against the nongovernmental contractor arising from the nongovernmental contractor's provision 28
of the contracted services to minors shall be filed with a court of competent jurisdiction and not 29
before the Industrial Commission. 30
(e) Any nongovernmental contractor that contracts with the public agency for the 31
provision of services to minors which takes any action that would qualify as abuse under 32
G.S. 7B-101(1) shall not be subject to the limited liability provided in subsection (d) of this 33
section." 34

General Assembly Of North Carolina Session 2025
Page 2 House Bill 547-Third Edition
SECTION 2. This act becomes effective October 1, 2025, and applies to claims 1
arising from acts or omissions occurring on or after that date and contracts entered into or 2
renewed on or after that date. 3