GENERAL ASSEMBLY OF NORTH CAROLINA
1991 SESSION
CHAPTER 688
The General Assembly of North Carolina enacts:
Section 1. G.S. 143-3.3 reads as rewritten:
"§ 143-3.3. Assignments of claims against State.
(a) Definitions. The following definitions apply in this section:
(1) Assignment. An assignment or transfer of a claim, or a power of attorney, an order, or another authority for receiving payment of a claim.
(2) Claim. A claim, a part or a share of a claim, or an interest in a claim, whether absolute or conditional.
(3) Qualified charitable organization. A charitable organization that is exempt from federal income tax pursuant to section 501(c)(3) of the Internal Revenue Code.
(4) State employee credit union. A credit union organized under Chapter 54 of the General Statutes whose membership is at least one-half employees of the State.
(5) The State. The State of North Carolina and any department, bureau, or institution of the State of North Carolina.
(b) Assignments Prohibited. Except as otherwise provided in this section, any assignment of a claim against the State is void, regardless of the consideration given for the assignment, unless the claim has been duly audited and allowed by the State and the State has issued a warrant for payment of the claim. Except as otherwise provided in this section, the State shall not issue a warrant to an assignee of a claim against the State.
(c) Assignments in Favor of Certain Entities Allowed. This section does not apply to an assignment in favor of:
(1) A hospital.
(2) A building and loan association.
(3) A uniform rental firm in order to allow an employee of the Department of Transportation to rent uniforms that include day-glo orange shirts or vests as required by federal and State law.
(4) An insurance company for medical, hospital, disability, or life insurance.
(d) Assignments to Meet Child Support Obligations Allowed. This section does not apply to assignments made to meet child support obligations pursuant to G.S. 110-136.1.
(e) Assignments for Prepaid Legal Services Allowed. This section does not apply to an assignment for payment for prepaid legal services.
(f) Payroll Deduction for State Employee Credit Union Accounts Allowed. An employee of the State who is a member of a State employee credit union may authorize, in writing, the periodic deduction from the employee's salary or wages paid for employment by the State of a designated lump sum for deposit to any credit union accounts, purchase of any credit union shares, or payment of any credit union obligations agreed to by the employee and the State employee credit union.
(g) Payroll Deduction for Payments to Certain Employees' Associations Allowed. An employee of the State or any of its institutions, departments, bureaus, agencies or commissions, or any of its local boards of education or community colleges, who is a member of a domiciled employees' association that has at least 2,000 members, the majority of whom are employees of the State or public school employees, may authorize, in writing, the periodic deduction from the employee's salary or wages a designated lump sum to be paid to the employees' association. A plan of payroll deductions pursuant to this subsection for employees of the State and other association members shall become void if the employees' association engages in collective bargaining with the State, any political subdivision of the State, or any local school administrative unit. This subsection does not apply to county or municipal governments or any local governmental unit, except for local boards of education.
(h) Payroll Deduction for State Employees Combined Campaign Allowed. Subject to rules adopted by the State Controller, an employee of the State may authorize, in writing, the periodic deduction from the employee's salary or wages paid for employment by the State of a designated lump sum to be paid to satisfy the employee's pledge to the State Employees Combined Campaign.
(i) Payroll Deduction for Public School and Community College Employees' Contributions to Charitable Organizations Allowed. Subject to rules adopted by the State Controller, an employee of a local board of education or community college may authorize, in writing, the periodic deduction from the employee's salary or wages paid for employment by the board of education or community college of a designated lump sum to be contributed to a qualified charitable organization that has first been approved by the employee's board of education or community college board.
(j) Payroll Deduction for University of North Carolina System Employees' Contributions to Certain Charitable Organizations Allowed. Subject to rules adopted by the State Controller, if a constituent institution of The University of North Carolina approves a payroll deduction plan under this subsection, an employee of the constituent institution may authorize, in writing, the periodic deduction from the employee's salary or wages paid for employment by the constituent institution of a designated lump sum to be contributed to a qualified charitable organization that exists to support athletic or charitable programs of the constituent institution and that has first been approved by the President of The University of North Carolina as existing to support athletic or charitable programs. If a payroll deduction plan under this subsection results in additional costs to a constituent institution, these costs shall be paid by the qualified charitable organizations receiving contributions under the plan.
All transfers and assignments made of any claim upon the
State of North Carolina or any of its departments, bureaus or commissions or
upon any State institution or of any part or share thereof or interest therein,
whether absolute or conditional and whatever may be the consideration therefor
and all powers of attorney, orders or other authorities for receiving payment of
any such claim or any part or share thereof shall be absolutely null and void
unless such claim has been duly audited and allowed and the amount due thereon
fixed and a warrant for the payment thereof has been issued; and no warrant
shall be issued to any assignee of any claim or any part or share thereof or
interest therein: Provided that this section shall not apply to assignments
made in favor of hospitals, building and loan associations, prepaid legal
services, uniform rental firms to allow employees of the Department of
Transportation to rent uniforms that include day-glo orange shirts or vests as
required by federal and State law, and medical, hospital, disability and life
insurance companies: Provided further, that any employee of the State or of any
of its institutions, departments, bureaus, agencies or commissions, who is a
member of any credit union organized pursuant to Chapter 54 of the North
Carolina General Statutes having a membership at least one half of whom are
employed by the State or its institutions, departments, bureaus, agencies or
commissions, may authorize, in writing, the periodic deduction from his salary
of wages as such employee of a designated lump sum, which shall be paid to such
credit unions when said salaries or wages are payable, for deposit to such
accounts, purchase of such shares or payment of such obligations as the
employee and the credit union may agree: Provided further, that any employee of
the State or of any of its institutions, departments, bureaus, agencies or commissions,
or any of its community colleges, who is a member of a domiciled State
employees' association with a membership of not less than 5,000 members, the
majority of whom are State employees, may authorize in writing the periodic
deduction from his salary or wages a designated sum to be paid to the
employees' association. This plan of payroll deductions for State
employees and other association members shall become null and void at such time
as the employee association engages in collective bargaining. Except as
otherwise provided, nothing in this last proviso shall apply to local boards of
education, county or municipal governments or any local governmental
units. Provided further, that subject to the rules and regulations
adopted by the State Controller, any employee of the State or of any of its
institutions, departments, bureaus, agencies or commissions may authorize in
writing the withholding from his salary or wages an amount to satisfy his
pledge to the State Employees Combined Campaign. Provided further, that
subject to any rules and regulations adopted by the State Controller, any
employee of a local board of education or community college may authorize in
writing the withholding from his salary or wages a periodic deduction of a
designated sum to be paid to any organization which qualifies for recognition
of exemption by the Internal Revenue Service as a charitable organization as
defined in Section 501(c)(3) of the Internal Revenue Code which has first been
approved by his local board of education or community college board.
Provided further, that subject to any rules and regulations adopted by the
State Controller, any employee of a constituent institution of The University
of North Carolina that processes its own payroll may authorize in writing the
withholding from his salary or wages a periodic deduction of a designated sum
to be paid to any organization that qualifies for recognition of exemption by
the Internal Revenue Service as a charitable organization as defined in Section
501(c)(3) of the Internal Revenue Code and that exists to support athletic or
charitable programs at the constituent institution where the employee is
employed; Provided further that such organization must be approved by the
President of The University of North Carolina as existing to support such
athletic or charitable programs; Provided, further that such withholding is
allowed only at those eligible constituent institutions that have authorized
withholding plans under this proviso. If a withholding plan results in
additional costs to a campus, these costs shall be paid by those charitable
organizations receiving contributions under the withholding plan.
(b) Subsection
(a) of this section shall not apply to assignments made to meet child support
obligations pursuant to G.S. 110-136.1."
Sec. 2. This act is effective upon ratification.
In the General Assembly read three times and ratified this the 13th day of July, 1991.
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James C. Gardner
President of the Senate
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Daniel Blue, Jr.
Speaker of the House of Representatives