§ 105-501. (Effective until October 1, 2009) Distribution of additional taxes.

NORTH CAROLINA STATUTES AND CODES

§ 105-501. (Effective until October 1, 2009) Distribution of additional taxes.

§ 105‑501. (Effectiveuntil October 1, 2009) Distribution of additional taxes.

The Secretary shall, on amonthly basis, allocate the net proceeds of the additional one‑halfpercent (1/2%) sales and use taxes levied under this Article to the taxingcounties on a per capita basis according to the most recent annual populationestimates certified to the Secretary by the State Budget Officer. The Secretaryshall then adjust the amount allocated to each county as provided in G.S. 105‑486(b).The amount allocated to each taxing county shall then be divided among thecounty and the municipalities located in the county in accordance with themethod by which the one percent (1%) sales and use taxes levied in that countypursuant to Article 39 of this Chapter or Chapter 1096 of the 1967 Session Lawsare distributed. No municipality may receive any funds under this section if itwas incorporated with an effective date of on or after January 1, 2000, and isdisqualified from receiving funds under G.S. 136‑41.2. No municipalitymay receive any funds under this section, incorporated with an effective dateon or after January 1, 2000, unless a majority of the mileage of its streetsare open to the public. The previous sentence becomes effective with respect todistribution of funds on or after July 1, 1999.

In determining the netproceeds of the tax to be distributed, the Secretary shall deduct from thecollections to be allocated an amount equal to one‑twelfth of the costsduring the preceding fiscal year of:

(1) The Department ofRevenue in performing the duties imposed by G.S. 105‑275.2 and by Article15 of this Chapter.

(1a) Seventy percent (70%)of the expenses of the Department of Revenue in performing the duties imposedby Article 2D of this Chapter.

(2) The Property TaxCommission.

(3) The School ofGovernment at the University of North Carolina at Chapel Hill in operating atraining program in property tax appraisal and assessment.

(4) The personnel andoperations provided by the Department of State Treasurer for the LocalGovernment Commission. (1985 (Reg. Sess., 1986), c. 906, s. 1; 1987, c. 832, s. 8; 1987 (Reg.Sess., 1988), c. 1082, s. 4; 1995, c. 41, s. 4; c. 370, s. 1; 1999‑458,s. 9; 2001‑427, s. 13(d); 2002‑126, s. 30D(a); 2006‑264, s.29(f).)

§ 105‑501. (EffectiveOctober 1, 2009) Distribution of additional taxes.

(a) Method. TheSecretary must, on a monthly basis, allocate to each taxing county the netproceeds of the additional one‑half percent (1/2%) sales and use taxescollected in that county under this Article. If the Secretary collects taxesunder this Article in a month and the taxes cannot be identified as beingattributable to a particular taxing county, the Secretary must allocate the netproceeds of these taxes among the taxing counties in proportion to the amountof taxes collected in each county under this Article in that month.

The Secretary must divide anddistribute the funds allocated to a taxing county each month under this sectionbetween the county and the municipalities located in the county in accordancewith the method by which the one percent (1%) sales and use taxes levied inthat county pursuant to Article 39 of this Chapter or Chapter 1096 of the 1967Session Laws are distributed. No municipality may receive any funds under this sectionif it was incorporated with an effective date of on or after January 1, 2000,and is disqualified from receiving funds under G.S. 136‑41.2. Nomunicipality may receive any funds under this section, incorporated with aneffective date on or after January 1, 2000, unless a majority of the mileage ofits streets are open to the public.

(b) Deductions. Indetermining the net proceeds of the tax to be distributed, the Secretary mustdeduct from the collections to be allocated an amount equal to one‑twelfthof the costs during the preceding fiscal year of:

(1) The Department ofRevenue in performing the duties imposed by G.S. 105‑275.2 and by Article15 of this Chapter.

(1a) Seventy percent (70%)of the expenses of the Department of Revenue in performing the duties imposedby Article 2D of this Chapter.

(2) The Property TaxCommission.

(3) The School ofGovernment at the University of North Carolina at Chapel Hill in operating atraining program in property tax appraisal and assessment.