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HomeMy WebLinkAbout072622 ws packet revisedWORK SESSION AGENDA (REVISED) Date: Tuesday, July 26, 2022 Time: 9:00 a.m. Location: Commissioners Meeting Room Harnett County Resource Center & Library 455 McKinney Parkway, Lillington Harnett County Board of Commissioners Page | 1 1.Call to order – Chairman Lewis Weatherspoon 2.Pledge of Allegiance and Invocation – Commissioner Brooks Matthews 3.Appointment of Christine Wallace as Acting Tax Administrator; Brent Trout, County Manager**please note: The Board of Commissioners may take action on this item** 4.Approve Employment Contract for Christine Wallace as Acting Tax Administrator, Brent Trout,County Manager **please note: The Board of Commissioners may take action on this item** 5.Oath of Office for Christine Wallace as Acting Tax Administrator; Dwight Snow, County Attorney 6.Discuss Tax Settlement for 2021; Christine Wallace, Acting Tax Administrator 7.Motion to adopt an order for tax collection in accordance with G.S. 105-373, G.S. 105-321 andG.S. 105-330.3. **please note: The Board of Commissioners may take action on this item** 8.Discuss NC Tier II Non-competitive Annual Grant Award; Larry Smith, Emergency Services Director 9.Discuss North Carolina Department of Transportation/Public Transportation Division FY2022Public Transportation Division Grant Agreements; Coley Price, Assistant County Manager 10.Discuss the 2022 National 4-H Healthy Living Teens Leading Change Project; Tim Mathews, HarnettCounty Extension Director 11.Discuss a request to accept grant from NC AgVentures Program; Tim Mathews, Harnett CountyExtension Director 12.Discuss additional WIC Breastfeeding Peer funding from NC DHHS; John Rouse, Health Director 13.Discuss additional WIC Client Services funding from NC DHHS; John Rouse, Health Director 14.Discuss COVID-19 620 ARPA School Health Team Workforce Funding; John Rouse, Health Director 15.Discuss ARPA Funding – Department on Aging; John Rouse, Health Director 16.Discuss utilization of ARPA funds to purchase mobile clinic; John Rouse Health Director 17.Discuss Workforce Innovation and Opportunities Act Funding FY23 (July 1, 2022-December 31, 2022); Charlotte Leach, Workforce Development Director 18.Discuss Research Triangle Regional Partnership (RTRP) Board Appointments; Christian Lockamy, Director of Economic Development HCBOC 072622 ws Pg. 1 Harnett County Board of Commissioners Page | 2 19. Discuss Bylaws for Economic Development Partnership; Christopher Appel, Senior Staff Attorney 20. Quarterly Financial Report; Kimberly Honeycutt, Finance Officer 21. County Manager’s Report- Brent Trout, County Manager • August 1, 2022 Regular Meeting Agenda Review • Review applications to serve on Boards and Committees • Upcoming meetings and invitations 22. Closed Session 23. Adjourn CONDUCT OF THE JULY 26, 2022 MEETING Live audio of the meeting will be streamed on the Harnett County Government’s YouTube Channel at https://www.youtube.com/channel/UCU7mTF6HTD65x_98EhAMeMg/featured. HCBOC 072622 ws Pg. 2 Harnett County Tax Administration 2021 Tax Settlement Presented By: Amy K. Bain, Tax Collections Supervisor/ NCTCA Certified Deputy Tax Collector Item 6 HCBOC 072622 ws Pg. 3 Introduction: •Per N. C. General Statute 105-373 the Tax Collector must make a report of settlement for the fiscal Year 2021-2022 and prior years. This settlement report is summary of charges of levy, discovered levy, penalties. The collections of this levy and releases and adjustments of this levy. This report also will show charged levy and collections of Real, Public Service, Motor Vehicles and Gap Registration bills and a comparison over the years of this. HCBOC 072622 ws Pg. 4 2021 ANNUAL SETTLEMENT-OVERVIEW 2021-2022 Annual Settlement Year to Date Total Charges for 2021 Tax Levy Original Billed Amount 63,041,436.71$ Discovered Levy/Additional Levy 656,401.33$ Penalties/Fees/Interest 251,928.45$ Total Charges 63,949,766.49$ Total Collections for 2021 Tax Levy 63,083,274.20$ Releases/Adjustments 466,868.96$ Principal amount of uncollected 2021 taxes constituting liens on real prop 275,766.07$ Principal amount of uncollected 2021 taxes personal property 123,857.26$ Total Credits 63,949,766.49$ HCBOC 072622 ws Pg. 5 2021 County Levy Real/Personal Property(IND,BUS,GAP) Total Billed Actual Collections Uncollected %Collected $61,337,493.36 $61,372,105.97 $393,064.97 99.36% Public Service Total Billed Actual Collections Uncollected &Collected $1,643,874.08 $1,643,874.08 $0.00 100% Motor Vehicles Total Billed Actual Collections Uncollected %Collected $ 11,006,909.95 $ 10,157,828.34 $ 849,081.61 92.28% Gap Bills (Motor Vehicles) Total Billed Actual Collections Uncollected %Collected $195,603.19 $121,328.56 $64,718.89 64.68% HCBOC 072622 ws Pg. 6 Total County Levy ( REI, PUB, IND,BUS,RMV) Total Billed Actual Collections %Collected $73,988,277.39 $73,173,808.39 98.90% Gap bills are included with REI/IND/BUS totals for both billed and collected HCBOC 072622 ws Pg. 7 5 Year Comparison By Category Real/Personal 06/30/2018 06/30/2019 06/30/2020 06/30/2021 06/30/2022 99.45% 99.55% 99.20% 99.34% 99.38% Public Service 06/30/2018 06/30/2019 06/30/2020 06/30/2021 06/30/2022 100%100%100%100%100% Motor Vehicles 06/30/2018 06/30/2019 06/30/2020 06/30/2021 06/30/2022 89.78 90.56% 91.29% 91.81%92.98% Gap Bills (Motor Vehicles) 06/30/2018 06/30/2019 06/30/2020 06/30/2021 06/30/2022 N/A 81.13% 64.64% 68.15% 64.68% HCBOC 072622 ws Pg. 8 2021 UNCOLLECTED LEVY AMOUNTS •PERSONAL PROPERTY (INDIVIDUAL AND BUSINESS) INCLUDES VEHICLE GAP BILLS 2.58% UNCOLLECTED •PUBLIC SERVICE 0% UNCOLLECTED •REAL PROPERTY 0.48% UNCOLLECTED NOTE: VEHICLE GAP BILLS AND INTERNATIONAL REGISTERED PLATES (BUSINESS PROPERTY) HINDERS OUR COLLECTION PERCENTAGE. CITIZENS THINK THIS IS COLLECTED AT NCDMV. HCBOC 072622 ws Pg. 9 State of North Carolina Harnett County ORDER OF THE BOARD OF COUNTY COMMISSIONERS IN ACCORDANCE WITH G.S. 105-373, G.S. 105-321 AND G.S. 105-330.3 TO: CHRISTINE L. WALLACE TAX COLLECTOR OF HARNETT COUNTY, TOWN OF ANGIER, TOWN OF COATS,CITY OF DUNN, TOWN OF ERWIN, TOWN OF LILLINGTON, TOWN OF BENSON-SATELLITE PROPERTIES, TOWN OF BROADWAY-SATELLITE PROPERTIES. You are hereby authorized, empowered, and commanded to collect the taxes remaining unpaid as set for in the 2013 through 2022 tax records files in the office of the Tax Collector, and in the tax receipts herewith delivered to you in the amounts and from the taxpayers likewise therein set forth. You are further authorized, empowered, and commanded to collect the 201 3 through 2022 taxes charged and assessed as provided by law for adjustments, changes and additions to the tax records and tax receipts delivered to you which are made in accordance with law. Such taxes are hereby declared to be a first lien on all real property of the respective taxpa yer in Harnett County, Town of Angier, Town of Coats, City of Dunn, Town of Erwin, Town of Lillington, Town of Benson-Satellite Properties, Town of Broadway- Satellite Properties, Averasboro School, Anderson Creek Fire, Angier/ Black River Fire, Benson Banner Fire, Behaven Fire, Boone Trail Emergency, Buies Creek Fire, Coats/ Grove Fire, Crains Creek Fire, Cypress Pointe Fire, Duke Fire, Dunn/Averasboro Fire, Erwin Town Fire, Flat Branch Fire, Flatwoods Fire, Godwin/Falcon Fire, Town of Lillington Fire, Northwest Harnett Fire, Spout Springs Fire, Summerville- Bunnlevel Fire, Westarea Fire, West Johnston Fire. This order shall be a full and sufficient authority to direct, require and enable you to levy on and sell, any real or personal property, and attach wa ges and/or other funds, of such taxpayers, for and on account thereof, in accordance with law. You are further authorized to call upon the Sheriff to levy upon and sell personal property under execution for the payment of taxes. Within available funds in the budget ordinance and personnel positions established, the Tax Collector may appoint employees and they have authority to perform those functions authorized by the Machinery Act of Chapter 105 of the North Carolina General Statutes and other applicable laws for current and previous year’s taxes. County personnel presently in Tax Collector’s office continue to serve in their respective positions. WITNESS my hand and official seal, this the _____________day of __________, 202 2. _______________________________________________ CHAIR, BOARD OF COUNTY COMMISSIONERS OF HARNETT COUNTY ATTEST: ____________________________________________ CLERK TO THE BOARD OF COUNTY COMMISSIONERS OF HARNETT COUNTY Item 7 HCBOC 072622 ws Pg. 10 S:\Clerk to the Board docs\AGENDAS\2022\072622 ws\8.1 agendaform TIER II Grant.docx Page 1 of 1 Board Meeting Agenda Item MEETING DATE: August 1, 2022 TO: HARNETT COUNTY BOARD OF COMMISSIONERS SUBJECT: NC Tier II Non-competitive Annual Grant Award REQUESTED BY: Larry Smith, Emergency Services Director REQUEST: Harnett County Emergency Services requests the board approval to accept the funds for the NC Emergency Management annual Tier II Noncompetitive Grant in the amount of $1,000. This non-competitive grant is used to host the annual Local Emergency Planning Committee (LEPC) meeting and provides support materials for the Harnett County LEPC. The LEPC is a federally mandated program to aid in planning for and tracking of hazardous materials utilized, manufactured and stored at business facilities located in the county. This grant is reimbursed at 100% up to the award amount upon submission of final cost report. FINANCE OFFICER’S RECOMMENDATION: COUNTY MANAGER’S RECOMMENDATION: Item 8 HCBOC 072622 ws Pg. 11 June 30, 2022 Fiscal Year 2022 NC Tier II Noncompetitive Grant Award Notification Recipient: Period of performance: Zach Shean January 1, 2022 to February 28, 2023 Harnett County Project title: LEPC support 1005 Edwards Brothers Drive MOA #: 2270035 Lillington, NC 27546- Award amount: $1,000.00 The North Carolina Department of Public Safety (NCDPS) / NC Emergency Management (NCEM) is pleased to inform you that your application for the Fiscal Year 2022 NC Tier II Noncompetitive Grant has been approved for funding. In accordance with the provisions of the Grant, NCEM hereby awards your organization a grant in the amount shown above to complete the approved project during the designated period of performance. Indirect costs are not authorized under this award. Payment of funds: The grant shall be effective upon final approval and execution of the corresponding Memorandum of Agreement (MOA) by Recipient and NCDPS/NCEM. Grant funds will be disbursed upon receipt of acceptable documentation submitted by Recipient that funds have been invoiced, products or services received, and proof of payment is provided. Reimbursements will be made in conjunction with the timely submission of required reports by Recipient as specified in the MOA. Conditions: Recipient agrees that funds will only be expended to complete the approved project(s) not to exceed the funding amount for the project(s) during the designated period of performance. Recipient also agrees to comply with all terms, conditions and responsibilities specified in the MOA, and to comply with all applicable federal, state and local laws, rules and regulations in the performance of this grant. Supplanting: Recipient confirms that these grant funds will not be used to supplant or replace local or state funds or other resources that would otherwise have been available for emergency management capacity building activities. In the box below, list the names and emails authorized as Recipient signatories for the above-referenced MOA in the preferred order of signature and receipt. Append “cc” to designate copy-only. Example: John Smith (john.smith@yahoo.com) Mary Jones (mary.jones@hotmail.com) cc Sam Brown (s.brown@gmail.com) DocuSign Envelope ID: E11E2687-B11B-40F8-A16E-45CE4C475A86 Larry Smith (ltsmith@harnett.org) Kimberly Honeycutt (khoneycutt@harnett.org) Brent Trout (btrout@harnett.org) Zach Shean (zshean@harnett.org) CC HCBOC 072622 ws Pg. 12 Item 9 HCBOC 072622 ws Pg. 13 HCBOC 072622 ws Pg. 14 HCBOC 072622 ws Pg. 15 HCBOC 072622 ws Pg. 16 HCBOC 072622 ws Pg. 17 HCBOC 072622 ws Pg. 18 HCBOC 072622 ws Pg. 19 HCBOC 072622 ws Pg. 20 HCBOC 072622 ws Pg. 21 HCBOC 072622 ws Pg. 22 HCBOC 072622 ws Pg. 23 HCBOC 072622 ws Pg. 24 HCBOC 072622 ws Pg. 25 HCBOC 072622 ws Pg. 26 HCBOC 072622 ws Pg. 27 HCBOC 072622 ws Pg. 28 HCBOC 072622 ws Pg. 29 HCBOC 072622 ws Pg. 30 HCBOC 072622 ws Pg. 31 HCBOC 072622 ws Pg. 32 HCBOC 072622 ws Pg. 33 HCBOC 072622 ws Pg. 34 HCBOC 072622 ws Pg. 35 HCBOC 072622 ws Pg. 36 HCBOC 072622 ws Pg. 37 HCBOC 072622 ws Pg. 38 HCBOC 072622 ws Pg. 39 HCBOC 072622 ws Pg. 40 HCBOC 072622 ws Pg. 41 HCBOC 072622 ws Pg. 42 HCBOC 072622 ws Pg. 43 HCBOC 072622 ws Pg. 44 HCBOC 072622 ws Pg. 45 HCBOC 072622 ws Pg. 46 HCBOC 072622 ws Pg. 47 HCBOC 072622 ws Pg. 48 HCBOC 072622 ws Pg. 49 HCBOC 072622 ws Pg. 50 HCBOC 072622 ws Pg. 51 HCBOC 072622 ws Pg. 52 HCBOC 072622 ws Pg. 53 HCBOC 072622 ws Pg. 54 HCBOC 072622 ws Pg. 55 HCBOC 072622 ws Pg. 56 HCBOC 072622 ws Pg. 57 HCBOC 072622 ws Pg. 58 HCBOC 072622 ws Pg. 59 HCBOC 072622 ws Pg. 60 HCBOC 072622 ws Pg. 61 HCBOC 072622 ws Pg. 62 HCBOC 072622 ws Pg. 63 HCBOC 072622 ws Pg. 64 HCBOC 072622 ws Pg. 65 HCBOC 072622 ws Pg. 66 HCBOC 072622 ws Pg. 67 HCBOC 072622 ws Pg. 68 HCBOC 072622 ws Pg. 69 HCBOC 072622 ws Pg. 70 HCBOC 072622 ws Pg. 71 HCBOC 072622 ws Pg. 72 HCBOC 072622 ws Pg. 73 HCBOC 072622 ws Pg. 74 HCBOC 072622 ws Pg. 75 HCBOC 072622 ws Pg. 76 HCBOC 072622 ws Pg. 77 HCBOC 072622 ws Pg. 78 HCBOC 072622 ws Pg. 79 Item 10 Meeting Date: 8/1/2022 HCBOC 072622 ws Pg. 80 Item 11 HCBOC 072622 ws Pg. 81 HCBOC 072622 ws Pg. 82 HCBOC 072622 ws Pg. 83 HCBOC 072622 ws Pg. 84 HCBOC 072622 ws Pg. 85 HCBOC 072622 ws Pg. 86 Item 12 HCBOC 072622 ws Pg. 87 HCBOC 072622 ws Pg. 88 HCBOC 072622 ws Pg. 89 HCBOC 072622 ws Pg. 90 HCBOC 072622 ws Pg. 91 HCBOC 072622 ws Pg. 92 HCBOC 072622 ws Pg. 93 HCBOC 072622 ws Pg. 94 HCBOC 072622 ws Pg. 95 HCBOC 072622 ws Pg. 96 HCBOC 072622 ws Pg. 97 HCBOC 072622 ws Pg. 98 HCBOC 072622 ws Pg. 99 HCBOC 072622 ws Pg. 100 HCBOC 072622 ws Pg. 101 HCBOC 072622 ws Pg. 102 Item 13 HCBOC 072622 ws Pg. 103 HCBOC 072622 ws Pg. 104 HCBOC 072622 ws Pg. 105 HCBOC 072622 ws Pg. 106 HCBOC 072622 ws Pg. 107 HCBOC 072622 ws Pg. 108 HCBOC 072622 ws Pg. 109 HCBOC 072622 ws Pg. 110 HCBOC 072622 ws Pg. 111 HCBOC 072622 ws Pg. 112 HCBOC 072622 ws Pg. 113 Item 14 HCBOC 072622 ws Pg. 114 HCBOC 072622 ws Pg. 115 HCBOC 072622 ws Pg. 116 HCBOC 072622 ws Pg. 117 HCBOC 072622 ws Pg. 118 HCBOC 072622 ws Pg. 119 HCBOC 072622 ws Pg. 120 HCBOC 072622 ws Pg. 121 HCBOC 072622 ws Pg. 122 HCBOC 072622 ws Pg. 123 HCBOC 072622 ws Pg. 124 HCBOC 072622 ws Pg. 125 HCBOC 072622 ws Pg. 126 HCBOC 072622 ws Pg. 127 HCBOC 072622 ws Pg. 128 HCBOC 072622 ws Pg. 129 Item 15 HCBOC 072622 ws Pg. 130 HCBOC 072622 ws Pg. 131 HCBOC 072622 ws Pg. 132 HCBOC 072622 ws Pg. 133 HCBOC 072622 ws Pg. 134 HCBOC 072622 ws Pg. 135 HCBOC 072622 ws Pg. 136 HCBOC 072622 ws Pg. 137 HCBOC 072622 ws Pg. 138 HCBOC 072622 ws Pg. 139 HCBOC 072622 ws Pg. 140 HCBOC 072622 ws Pg. 141 Item 17 HCBOC 072622 ws Pg. 142 HCBOC 072622 ws Pg. 143 HCBOC 072622 ws Pg. 144 HCBOC 072622 ws Pg. 145 HCBOC 072622 ws Pg. 146 HCBOC 072622 ws Pg. 147 HCBOC 072622 ws Pg. 148 HCBOC 072622 ws Pg. 149 HCBOC 072622 ws Pg. 150 HCBOC 072622 ws Pg. 151 HCBOC 072622 ws Pg. 152 HCBOC 072622 ws Pg. 153 HCBOC 072622 ws Pg. 154 HCBOC 072622 ws Pg. 155 HCBOC 072622 ws Pg. 156 HCBOC 072622 ws Pg. 157 HCBOC 072622 ws Pg. 158 HCBOC 072622 ws Pg. 159 HCBOC 072622 ws Pg. 160 HCBOC 072622 ws Pg. 161 HCBOC 072622 ws Pg. 162 HCBOC 072622 ws Pg. 163 HCBOC 072622 ws Pg. 164 HCBOC 072622 ws Pg. 165 HCBOC 072622 ws Pg. 166 HCBOC 072622 ws Pg. 167 HCBOC 072622 ws Pg. 168 HCBOC 072622 ws Pg. 169 HCBOC 072622 ws Pg. 170 HCBOC 072622 ws Pg. 171 HCBOC 072622 ws Pg. 172 HCBOC 072622 ws Pg. 173 HCBOC 072622 ws Pg. 174 HCBOC 072622 ws Pg. 175 HCBOC 072622 ws Pg. 176 HCBOC 072622 ws Pg. 177 HCBOC 072622 ws Pg. 178 HCBOC 072622 ws Pg. 179 HCBOC 072622 ws Pg. 180 HCBOC 072622 ws Pg. 181 HCBOC 072622 ws Pg. 182 HCBOC 072622 ws Pg. 183 Economic Development www.harnettedc.org PO Box 1270 200 Alexander Drive Lillington, NC 27546 910-893-7524 July 20, 2022 MEMORANDUM FROM: Christian Lockamy, Director of Economic Development TO: Harnett County Board of Commissioners CC: Brent Trout, Harnett County Manager SUBJECT: Research Triangle Regional Partnership (RTRP) Board Appointments Staff at the Research Triangle Regional Partnership (RTRP) has reached out in regards to selecting our next board appointments for Harnett County. RTRP is an economic development organization that represents 13 Counties in Central North Carolina. Their organization’s primary mission is to market the region to help attract new companies within various sectors including Advanced Manufacturing, Life Sciences, Agriculture Technology, and Information Technology. RTRP has a main board and an EDAC (Economic Development Advisory Council). The main board meets twice a year, and has varied membership that includes Elected Officials, Business Leaders, Chamber of Commerce Directors, and Institutional Leadership from educational institutions and electric cooperatives. The EDAC meets monthly, and includes the Economic Development Directors from the 13 Counties. Harnett County maintains 3 board seats on RTRP that currently includes Angie Stewart on the EDAC, Dr. Lisa Chapman (CCCC) and Dan Camp (Boon Edam) on the main board. The appointments last one-year, with members needing to be reappointed, or new members selected, at the beginning of each fiscal year. I will be prepared to serve on the EDAC to replace Angie Stewart going forward. Dr. Lisa Chapman has expressed a desire to continue serving on the board, should the Board of Commissioners choose to reappoint her. Dan Camp has relocated to Boon Edam’s Raleigh office, and will need to be replaced. After discussing the potential appointments with Ryan Combs, the Executive Director for RTRP, I recommend appointing Dr. Lisa Chapman to the main board, Economic Development Director Christian Lockamy to the EDAC, and Commissioner Lew Weatherspoon to the main board, considering his recent appointment to the Harnett County Economic Development Partnership. … Item 18 HCBOC 072622 ws Pg. 184 NPRAL1:1504894.3 AMENDED AND RESTATED BYLAWS OF HARNETT COUNTY ECONOMIC DEVELOPMENT PARTNERSHIP Amended and Restated: August ___ 2022 Item 19 HCBOC 072622 ws Pg. 185 1 NPRAL1:1504894.3 TABLE OF CONTENTS Page ARTICLE I NAME, PURPOSES, AND OFFICE .................................................................................................... 3 SECTION 1 - NAME ..................................................................................................................................... 3 SECTION 2 - GENERAL PURPOSES ........................................................................................................ 3 SECTION 3 - SPECIFIC PURPOSES ......................................................................................................... 3 SECTION 4 - LIMITATIONS...................................................................................................................... 4 A. Legislative and Political Activity .......................................................................................... 4 B. Property .. …………………………………………………………………………………….5 C. Dissolution .............................................................................................................................. 5 D. Limitations in Case of Private Foundation Status .............................................................. 5 SECTION 5 - OFFICE .................................................................................................................................. 6 ARTICLE II NO MEMBERSHIP ............................................................................................................................. 6 ARTICLE III BOARD OF DIRECTORS ................................................................................................................. 7 SECTION 1 - COMPOSITION .................................................................................................................... 7 SECTION 2 - ELECTION AND TERM OF DIRECTORS ...................................................................... 7 SECTION 3 - RESIGNATIONS AND REMOVAL .................................................................................. 8 SECTION 4 - VACANCIES ......................................................................................................................... 8 SECTION 5 - COMPENSATION ................................................................................................................ 9 SECTION 6 - OFFICERS OF THE BOARD OF DIRECTORS............................................................... 9 A. Chair………………………………………………………………………………………….9 B. Vice-Chair............................................................................................................................... 9 SECTION 7 - POWERS RESERVED TO THE BOARD .......................................................................... 9 ARTICLE IV MEETINGS OF DIRECTORS ........................................................................................................ 10 SECTION 1 - PLACE AND TIME OF ANNUAL AND REGULAR MEETINGS ............................... 10 SECTION 2 - ATTENDANCE ................................................................................................................... 11 SECTION 3 - QUORUM, PROCEDURE, VOTING AND MANNER OF ACTION ........................... 11 A. Quorum ... …………………………………………………………………………………...11 B. Procedure .............................................................................................................................. 11 C. Voting .. ……………………………………………………………………………………...11 D. Manner of Action ................................................................................................................. 12 SECTION 4 - CONFLICTS OF INTEREST ............................................................................................ 12 A. Good Faith ............................................................................................................................ 12 B. Conflict Raised by Another Member of the Board ........................................................... 13 C. Disqualified Director ........................................................................................................... 14 D. Notice to New Directors ....................................................................................................... 14 SECTION 5 - INDEMNIFICATION ......................................................................................................... 15 A. Indemnification Under N.C. Gen. Stat., §55A-8-51 .......................................................... 15 B. Indemnification under N.C. Gen. Stat. §55A-8-52 ............................................................ 16 C. Advances Under N.C. Gen. Stat. §55A-8-53 ...................................................................... 16 D. Court-Ordered Indemnification Under N.C. Gen. Stat. §55A-8-54 ................................ 16 E. Determination and Authorization of Indemnification Under N.C. Gen. Stat. ............... 17 §55A-8-55 F. Indemnification of Officers, Employees, and Agents Under N.C. Gen. Stat. §55A-8-56 18 G. Immunity from Civil Liability ............................................................................................. 18 H. Additional Indemnification and Insurance ......................................................................... 18 ARTICLE V COMMITTEES OF THE BOARD OF DIRECTORS .................................................................... 19 SECTION 1 - EXECUTIVE COMMITTEE ............................................................................................. 19 A. Designation ........................................................................................................................... 19 B. Meetings… ............................................................................................................................ 19 C. Authority .............................................................................................................................. 20 D. Membership and Vacancies ................................................................................................ 20 HCBOC 072622 ws Pg. 186 2 NPRAL1:1504894.3 E. Minutes… ............................................................................................................................. 20 SECTION 2 - ADVISORY COMMITTEES ............................................................................................. 20 SECTION 3 - STANDING AND SPECIAL COMMITTEES ................................................................. 20 SECTION 4 - GOVERNING PROVISIONS ............................................................................................ 21 ARTICLE VI OFFICERS OF THE PARTNERSHIP ........................................................................................... 21 SECTION 1 - OFFICERS AND ELECTION ........................................................................................... 21 SECTION 2 - PRESIDENT ........................................................................................................................ 21 SECTION 3 - SECRETARY ...................................................................................................................... 22 SECTION 4 - TREASURER.……………………………………………………………………………. 23 SECTION 5 - DUAL OFFICE…………………………………………………………………………….23 SECTION 6 - VACANCIES ....................................................................................................................... 23 SECTION 7 - REMOVAL OF OFFICERS .............................................................................................. 23 SECTION 8 - BONDS ................................................................................................................................. 23 ARTICLE VII CONTRACTS, LOANS, CHECKS, AND DEPOSITS ................................................................ 24 SECTION 1 - CONTRACTS ...................................................................................................................... 24 SECTION 2 - LOANS ................................................................................................................................. 24 SECTION 3 - CHECKS AND DRAFTS .................................................................................................... 24 SECTION 4 - DEPOSITS ........................................................................................................................... 24 SECTION 5 – GIFTS .................................................................................................................................. 25 ARTICLE VIII GENERAL PROVISIONS ............................................................................................................ 25 SECTION 1 - WAIVER OF NOTICE ....................................................................................................... 25 SECTION 2 - SEAL..................................................................................................................................... 25 SECTION 3 - FISCAL YEAR .................................................................................................................... 25 SECTION 4 - AUDITORS .......................................................................................................................... 25 SECTION 5 - PROHIBITION AGAINST SHARING IN CORPORATE EARNINGS ....................... 25 SECTION 6 - AMENDMENTS .................................................................................................................. 26 SECTION 7 - GENDER .............................................................................................................................. 26 ARTICLE IX EXEMPT ACTIVITIES ................................................................................................................... 26 BYLAWS – RULES/CONFLICT OF INTEREST POLICY………………………………………………………i HCBOC 072622 ws Pg. 187 3 BYLAWS OF HARNETT COUNTY ECONOMIC DEVELOPMENT PARTNERSHIP ARTICLE I NAME, PURPOSES, AND OFFICE SECTION 1 - NAME. This corporation shall be known as the Harnett County Economic Development Partnership (“Partnership”). SECTION 2 - GENERAL PURPOSES. This Partnership is a nonprofit corporation and is not organized for the private gain of any person. It is organized under the North Carolina Nonprofit Corporation Act for charitable, educational, religious and scientific purposes. The purposes for which this corporation is organized and shall be exclusively operated are charitable, scientific and educational within the meaning of §501(c)(3) of the Internal Revenue Code of 1986, as amended (“Code”), or the corresponding provision of any subsequent federal tax laws. Notwithstanding any other provision of these Bylaws, this Partnership shall not, except to an insubstantial degree, carry on or engage in any activities or exercise any powers that are not in furtherance of the purposes of this Partnership. The Partnership is authorized to conduct any transaction by electronic means, in accordance with North Carolina General Statutes §§55A-1-70 and 66-311 et seq. SECTION 3 - SPECIFIC PURPOSES. Within the context of the foregoing general purposes, the specific and primary purposes for which the Partnership is organized and shall be exclusively operated are as follows: HCBOC 072622 ws Pg. 188 4 A. To serve the public of Harnett County, North Carolina by diversifying Harnett County’s economy through the attraction of new industries and the expansion of existing businesses that will bring living-wage jobs and investment to the community; B. To assist the local municipalities of Angier, Coats, Dunn, Erwin, and Lillington in fostering economic development to promote opportunity, combat unemployment, and aid in revitalization efforts; C. To stimulate, encourage, and promote the economic development of Harnett County, North Carolina (“County”) by providing services and aid of a nature and kind calculated to encourage and facilitate the locating, establishing, building, operating, and maintaining of new, existing, and additional business industries in the County; D. To encourage, solicit, advertise for and promote the location and operation of industries and manufacturing establishments within the County, and to act independently or in conjunction with governmental organizations in the promotion and development of the economic business welfare of the County; E. To purchase, take, receive, lease, take by gift, devise or bequest, or otherwise acquire, own, hold, improve, use and otherwise deal in and with real or personal property, or any interest therein, wherever situated; and F. To engage in any and all lawful activities incidental to the foregoing purposes except as restricted herein. SECTION 4 - LIMITATIONS. A. Legislative and Political Activity. No substantial part of the activities of this Partnership shall consist of carrying on propaganda or otherwise attempting to influence legislation, and this Partnership shall not participate in or intervene in HCBOC 072622 ws Pg. 189 5 (including the publishing or distributing of statements in connection with) any political campaign on behalf of or in opposition to any candidate for public office. B. Property. The property, assets, profits, and net income of this Partnership are dedicated irrevocably to the purposes set forth in Sections 2 and 3 above. No part of the profits or net earnings of this Partnership shall ever inure to the benefit of any of its Directors or officers, or to the benefit of any private individual. C. Dissolution. Upon the dissolution and liquidation of the Partnership, the Board of Directors (“Board”) shall, after paying or making provisions for the payment of all liabilities of the Partnership may in its discretion, distribute all or parts of the assets of the Partnership to organizations which qualify for exemption under Sections 501(c)(3) of the Internal Revenue Code of 1986 (the “Code”), to the County of Harnett or if the County declines to accept such assets, to a state or local government agency, for a public purpose. Any such assets not so disposed of shall be disposed of by a court of general jurisdiction in Harnett County exclusively for such purposes for which the Partnership was organized or to such organization or organizations as said court shall determine. D. Limitations in Case of Private Foundation Status. At any time during which this Partnership shall be classified as a “private foundation” as that term is defined by §509 of the Code or the corresponding provision of any subsequent federal tax laws: (1) the Partnership shall not engage in any act of self-dealing as defined in §4941(d) of the Code or the corresponding provision of any subsequent federal, tax laws; HCBOC 072622 ws Pg. 190 6 (2) the Partnership shall make distributions of such amounts for each taxable year at such time and in such manner as not to become subject to the tax imposed by §4942 of the Code or the corresponding provision of any subsequent federal tax laws; (3) the Partnership shall not retain any excess business holdings as defined in §4943(c) of the Code or the corresponding provision of any subsequent federal tax laws; (4) the Partnership shall not make any investments in such manner as to subject it to tax under §4944 of the Code or the corresponding provision of any subsequent federal tax laws; and (5) the Partnership shall not make any taxable expenditures as defined in §4945(d) of the Code or the corresponding provision of any subsequent federal tax laws. SECTION 5 - OFFICE. The principal office of the Partnership shall be located at such place either within or without North Carolina as may be designated by the Board of Directors. The Partnership also may have offices at such other places as the Board may from time to time designate. ARTICLE II NO MEMBERSHIP The Partnership shall not have members and shall not have capital stock. HCBOC 072622 ws Pg. 191 7 ARTICLE III BOARD OF DIRECTORS SECTION 1 - COMPOSITION. The power and authority of the Partnership shall be vested in its Board of Directors (the “Board”) which shall be composed of not fewer than six (6) nor more than eleven (11) persons as well as five (5) ex-officio members. SECTION 2 - ELECTION AND TERM OF DIRECTORS. The Initial Board of Directors (the “Initial Board”) shall consist of the two (2) Directors from the Harnett County Commissioners appointed by the Harnett County Board of Commissioners. At the first meeting of the Partnership, the two Directors from the Board of Commissioners shall appoint up to six (6) additional Directors to the Initial Board that shall serve staggered terms of one (1), two (2), and (3) years. After the initial appointments to the Board, the Initial Board may take any other necessary formation action. At any subsequent meeting of the Partnership, the Board may also elect additional members in accordance with Sections 1 and 2 of this Article. Membership of the Board of Directors shall consist of at least the following: 1. Two (2) Harnett County Commissioners; 2. A minimum of four (4) but not more than (9) business leaders who work in Harnett County; 3. The County Manager for the County of Harnett (or designee) as an ex officio non-voting member; 4. The Director of Economic Development for the County of Harnett (or designee) as an ex officio non-voting member; 5. The President of Campbell University (or designee) as an ex officio non-voting member; HCBOC 072622 ws Pg. 192 8 6. The President of Central Carolina Community College (or designee) as an ex-officio non- voting member; 7. The Superintendent of Harnett County Schools (or designee) as an ex-officio non-voting member. Directors from the Harnett County Board of Commissioners shall serve for a term of one (1) year and may serve unlimited consecutive terms. Following the expiration of the initial terms of the Initial Directors from the Board of Commissioners and at the expiration of each term thereafter, the Harnett County Board of Commissioners shall nominate two (2) Commissioners for consideration to serve as Directors on the Board. The Board shall then vote to accept or reject the appointment of one or both of the nominees. All other voting Directors shall serve three (3) year terms and may be elected by the Board to serve up to two (2) consecutive three (3) year terms. For the Directors of the Initial Board serving a term of less than three (3) years, the initial term shall not be counted in limiting the members to two (2) consecutive terms. The Board may appoint other ex-officio members to the Board at its discretion. Ex- officio members of the Board shall not have voting rights. SECTION 3 - RESIGNATIONS AND REMOVAL. Any Director may resign from the Board at any time by giving written notice to the Chair of the Board of Directors of the Partnership, and unless otherwise specified therein, acceptance of such resignation shall not be necessary to make it effective. Any Director may be removed, with or without cause, by the Board. SECTION 4 - VACANCIES. Any vacancy occurring on the Board by reason of the resignation, removal, or death of a Director shall be filled by the remaining members. A HCBOC 072622 ws Pg. 193 9 Director elected to fill a vacancy shall be elected for the unexpired term of his predecessor in office. SECTION 5 - COMPENSATION. Directors shall serve without compensation except that the Directors may, in their discretion and by a majority vote of their number, reimburse any or all Directors for expenses actually incurred by them in attending meetings or otherwise carrying out their duties to the Partnership. Nothing herein contained shall be construed to preclude any Director from serving the Partnership in any other capacity and receiving compensation therefor. SECTION 6 - OFFICERS OF THE BOARD. A. Chair. The Board shall elect from among the business leader Directors a Chair who shall preside at all meetings of the Board and perform such other duties as may be directed by the Board. The Chair’s term shall be for one (1) year and that person may be re-elected for up to two (2) consecutive terms. The Chair preside at all meetings of the Board and perform such other duties as may be delegated to him by the Board and these Bylaws. B. Vice-Chair. The Board shall elect from among the business leader Directors a Vice-Chair who shall preside at all meetings of the Board when the Chair is absent. The Vice-Chair’s term shall be for one (1) year, and that person may be re- elected for up to two (2) consecutive terms. SECTION 7 - POWERS RESERVED TO THE BOARD. The Board shall have the sole authority to make the following decisions: 1. The location of the headquarters of the Partnership. 2. The approval and adoption of the Partnership’s annual budget. HCBOC 072622 ws Pg. 194 10 3. The borrowing of any money on behalf of the Partnership. 4. The amendment or repeal of the Bylaws or the adoption of new Bylaws. 5. The amendment or repeal of any resolution of the Board. 6. The dissolution, merger, or consolidation of the Partnership. 7. The amendment of the Articles of Incorporation. 8. The sale, lease, or exchange of all or substantially all of the property of the Partnership. 9. To contract for services to be provided to the Partnership. 10. To decide what projects or endeavors will be undertaken by the Partnership. 11. All other activities permitted for a nonprofit corporation. ARTICLE IV MEETINGS OF DIRECTORS SECTION 1 - PLACE AND TIME OF ANNUAL AND REGULAR MEETINGS. The Board shall hold not less than one (1) meeting per year at a designated time and place as determined by the Board at its first meeting. The Annual Meeting of the Board shall be held at such date and time as may be determined on an annual basis by the Board and stated in the notice of such Directors’ meeting. The annual meeting of Directors shall be held for the purpose of electing Directors of the Partnership and for such other purposes as may be included in the notice of such meeting or required by law. Special meetings of the Board may be held at the call of the Chair, or, in his absence, the Vice-Chair or at the call of any two (2) Directors. Regular meetings may be held without notice. Special meetings of the Board shall be held upon notice sent by any HCBOC 072622 ws Pg. 195 11 usual means of communication not less than forty-eight (48) hours before the meeting. All meetings of the Board shall be governed by Robert’s Rules of Order, as revised. SECTION 2 - ATTENDANCE. Directors shall strive to attend all meetings. However, should a Director miss two consecutive meetings without reasonable excuse, his office or chair may be declared vacant by a majority vote of the Board and the Board shall appoint a person to fill the vacancy. Directors shall be required to notify the Chair, Vice-Chair, or President of the Partnership of their inability to attend a lawfully scheduled meeting not less than twenty-four (24) hours prior to the start of the meeting unless the Director is unable to provide such notice due to illness or emergency. SECTION 3 - QUORUM, PROCEDURE, VOTING AND MANNER OF ACTION. A. Quorum. A quorum of the Board for the transaction of business shall consist of a majority of the voting Directors then in office. B. Procedure. At all meetings of the Board, the Chair, or in his absence, the Vice-Chair, or in his absence, a presiding officer chosen at the meeting, shall preside over the transaction of business. The Chair of the Board, or his designee, shall act as secretary and the Chair of the Board or his designee shall prepare records of all meetings of the Board and maintain the same in the Partnership’s principal office. C. Voting. Each Director entitled to vote and present for the meeting is entitled to one (1) vote on any matter before the Board. A Director who is present at a meeting of the Board at which action on any matter is taken shall be presumed to have assented to the action taken unless the Director’s contrary vote is recorded or dissent is otherwise entered in the minutes of the meeting, or unless the Director files a written dissent to such action with the Chair of the Board or person acting as the secretary of the HCBOC 072622 ws Pg. 196 12 meeting before the adjournment thereof, or forwards such dissent by certified mail, return receipt requested, to the Chair of the Board by the second business day after the adjournment of the meeting. Such right to dissent shall not apply to a Director who voted in favor of such action. Directors may vote by proxy, but such proxy shall be in writing, addressed to the Director whom shall vote the proxy, and shall set forth the scope and extent of the proxy. Proxies may be counted in the number of Directors present for the purpose of establishing a quorum. Proxies do not constitute attendance by the Director issuing the proxy for purposes of Attendance of Directors set forth in Section 2 above. D. Manner of Action. Unless otherwise required by law, the Articles of Incorporation, or these Bylaws, the act of a majority of the Directors present and voting at a meeting at which a quorum is present shall be the act of the Board. Any action required or permitted to be taken by the Board under any provision of law, the Articles of Incorporation, or these Bylaws may be taken without a meeting if written consent to the action in question is signed by all of the Directors and filed with the minutes of the proceedings of the Board, whether done before or after the actions so taken. Such action by written consent shall have the same force and effect as a unanimous vote of the Directors. SECTION 4 - CONFLICTS OF INTEREST. A. Good Faith. Directors of the Partnership shall exercise good faith in all transactions touching upon their duties to the Partnership and its property. In their dealings with and on behalf of the Partnership, Directors are held to a strict rule of honest dealing. The provisions regarding conflicts of interest set out herein may be HCBOC 072622 ws Pg. 197 13 supplemented by a Conflict of Interest Policy duly adopted by the Board, which is attached hereto as “Bylaws – Rider 1”. B. Conflict Raised by Another Member of the Board. Each Director, before taking their position, shall disclose in writing to the Chair a list of all businesses or other organizations of which he is an officer, Director, shareholder, member, owner or employee, or for which he acts as an agent and with which the Partnership has or might reasonably in the future enter into a relationship or a transaction in which the Director would have conflicting interests. If any matter should come before the Board or any of its committees in such a way to give rise to a conflict of interest, the affected Director shall make known to the Board the potential conflict and shall answer any questions that might be asked him. The Board shall determine whether or not a conflict exists. If the Board determines that a conflict does exist, the affected Director shall be excluded from voting. Any Director may raise an issue as to whether or not another Director has a conflict of interest with respect to any matter coming before the Board. In such case, the Board shall decide whether or not a conflict exists. If the Board determines that a conflict does exist, the affected Director shall be excluded from voting. The affected Director shall be counted in determining the quorum for the meeting except as provided herein. If the material facts of a transaction and the Director’s interest were disclosed or known to the Board or a committee of the Board and the Board or committee authorized, approved or ratified the transaction, a quorum is present if a majority of the Directors who have no direct or indirect interest in the transaction voted to authorize, approve, or ratify the transaction. A majority of votes, whether or not HCBOC 072622 ws Pg. 198 14 present, that are entitled to be cast in a vote on a transaction where the material facts of the transaction and the Director’s interest were disclosed or known to the members of the Board entitled to vote constitutes a quorum; the members entitled to vote on such a transaction shall include all Directors except (i) those Directors with a direct or indirect interest in the transaction and (ii) those Directors who have a material financial interest in another entity or are the general partners of another entity which is a party to the transaction. The minutes of the meeting shall reflect the existence of the conflict, the abstention from voting, and the quorum situation. Any Director may raise an issue as to whether another Director’s circumstances or situation renders his service on the Board in conflict with the best interests of the Partnership. In any such case, the Board shall determine if such a conflict exists, and what action, if any, should be taken. C. Disqualified Director. The foregoing section shall not be construed as preventing a Director from briefly stating his position to the Board concerning the manner in which he has a possible conflict of interest or from answering pertinent questions of other Directors concerning the matter because his knowledge may be of assistance to the Board. D. Notice to New Directors. The Chair of the Board shall advise each new Director of this conflicts of interest policy promptly after the new Director assumes the duties of his office. HCBOC 072622 ws Pg. 199 15 SECTION 5 - INDEMNIFICATION. A. Indemnification Under N.C. Gen. Stat. §55A-8-51. (1) Except as provided in subparagraph (4) of this Section 5.A, the Partnership shall indemnify an individual made a party to a proceeding because the individual is or was a Director against liability incurred in the proceeding if the individual (a) conducted himself in good faith; (b) reasonably believed (i) in the case of conduct in his official capacity with the Partnership, that his conduct was in its best interests, and (ii) in all other cases, that his conduct was at least not opposed to the Partnership’s best interests; and (c) in the case of any criminal proceeding, had no reasonable cause to believe his conduct was unlawful. (2) A Director’s conduct with respect to an employee benefit plan for a purpose the Director reasonably believed to be in the interests of the participants in and beneficiaries of the plan is conduct that satisfies the requirement of subparagraph (1) above. (3) The termination of a proceeding by judgment, order, settlement, conviction or upon a plea of no contest or its equivalent is not of itself determinative that the Director did not meet the standard of conduct set forth in subparagraph (1) above. (4) The Partnership shall not indemnify a Director in connection with the proceeding by or in right of the Partnership in which the Director is adjudged liable to the Partnership or in connection with any other proceeding charging improper personal benefit to the Director, whether or not involving action in his HCBOC 072622 ws Pg. 200 16 official capacity, in which the Director was adjudged liable on the basis that personal benefit was improperly received by the Director. (5) Indemnification hereunder in connection with a proceeding by or in the right of the Partnership that is concluded without a final adjudication on the issue of liability is limited to reasonable expenses incurred in connection with the proceeding. (6) The authorization, approval or favorable recommendation by the Board of indemnification as authorized hereunder shall not be deemed an act or corporate transaction in which a Director has a conflict of interest and no such indemnification shall be void or voidable on such ground. B. Indemnification under N.C. Gen. Stat. §55A-8-52. The Partnership shall indemnify a Director who is wholly successful on the merits or otherwise in the defense of any proceeding to which the Director was a party because he is or was a Director of the Partnership, against reasonable expenses actually incurred by the Director in connection with the proceeding. C. Advances Under N.C. Gen. Stat. §55A-8-53. Expenses incurred by a Director in defending a proceeding shall be paid by the Partnership in advance of the final disposition of the proceeding upon receipt of an agreement by or on behalf of the Director to repay such amount unless it is ultimately determined that the Director is entitled to be indemnified by the Partnership against such expenses. D. Court-Ordered Indemnification Under N.C. Gen. Stat. §55A-8-54. A Director of the Partnership who is a party to a proceeding may apply for indemnification to the court conducting the proceeding or to another court of competent jurisdiction. The HCBOC 072622 ws Pg. 201 17 court may order indemnification if it determines that (i) the Director is entitled to mandatory indemnification under N.C. Gen. Stat. §55A-8-52, in which case the Partnership shall also pay the Director’s reasonable expenses incurred to obtain court- ordered indemnification, or (ii) the Director is fairly and reasonably entitled to indemnification in whole or in part in view of all the relevant circumstances, whether or not the Director met the standard of conduct set forth in N.C. Gen. Stat. §55A-8-51 or was adjudged liable as described in N.C. Gen. Stat. §55A-8-51(d), but if the Director is adjudged so liable, such indemnification is limited to reasonable expenses incurred. E. Determination and Authorization of Indemnification Under N.C. Gen. Stat. §55A-8-55. (1) The Partnership shall not indemnify a Director under N.C. Gen. Stat. §55A-8-51 unless authorized in the specific case after a determination has been made that indemnification of the Director is permissible in the circumstances because the Director met the standard of conduct set forth in N.C. Gen. Stat. §55A-8-51. The determination shall be made by the Board by a majority vote of a quorum consisting of Directors not at the time parties to the proceeding. If such a quorum cannot be obtained, such determination thereupon shall be made by a majority vote of a committee duly designated by the Board (in which designation Directors who are parties may participate), consisting solely of two (2) or more Directors not at the time parties to the proceeding. If the foregoing two (2) methods of determination cannot be made, then such determination shall be made by special legal counsel selected by the Board or a committee in the manner prescribed herein, or if a quorum of the Board cannot be obtained and a HCBOC 072622 ws Pg. 202 18 committee cannot be designated, then selected by a majority vote of the full Board in which selection Directors who are parties may participate. (2) Authorization of indemnification and evaluation as to reasonableness of expenses shall be made in the same manner as the determination that indemnification is permissible, except that if the determination is made by special legal counsel, authorization of indemnification and evaluation as to reasonableness of expenses shall be made by those entitled to select counsel hereunder. F. Indemnification of Officers, Employees, and Agents Under N.C. Gen. Stat. §55A-8-56. An officer, employee, or agent of the Partnership is entitled to indemnification under this subsection to the same extent as a Director. The Partnership shall advance expenses to an officer, employee, or agent of the Partnership to the same extent as to a Director. G. Immunity from Civil Liability. Directors and officers of the Partnership shall be immune from civil liability for monetary damages arising out of their service as such to the fullest extent authorized by law, including but not limited to that immunity authorized by N.C. Gen. Stat. §§1-539.10, 55A-2-02(b)(4), and 55A-8-60, or any successor provisions of law. H. Additional Indemnification and Insurance (1) In addition to the indemnification provided for in this Article IV, Sections 5(A) through 5(G) hereof, the Partnership shall indemnify its Directors, officers and employees against liability and expenses in any proceeding, including without limitation a proceeding brought by or on behalf of the Partnership itself, arising out of their status as HCBOC 072622 ws Pg. 203 19 such or their activities in any of the foregoing capacities. The Partnership shall also indemnify any person who at the request of the Partnership is or was serving as a Director, officer, trustee, or employee of another corporation, partnership, joint venture, trust or other enterprise or as a trustee or administrator of an employee benefit plan. (2) The Partnership may purchase and maintain insurance on behalf of an individual who is or was a Director, officer or employee of the Partnership or who, while a Director, officer or employee of the Partnership, is or was serving at the request of the Partnership as a Director, officer, trustee or employee of another corporation, joint venture, trust, employee benefit plan or other enterprise, against liability asserted against or incurred by him or her in that capacity or arising from his or her status as a Director, officer or employee, whether or not the Partnership would have authority to indemnify him or her against the same liability under any provision of law. ARTICLE V COMMITTEES OF THE BOARD OF DIRECTORS SECTION 1 - EXECUTIVE COMMITTEE. A. Designation. There may be an Executive Committee if authorized by resolution of the Board. The members of the Executive Committee shall at all times include the Chair and Vice-Chair of the Board of the Partnership. Remaining members shall be appointed by the Chair of the Board, subject to approval of the majority of all Directors then in office. B. Meetings. The Executive Committee may meet at stated times or upon written notice to all members of the Executive Committee. HCBOC 072622 ws Pg. 204 20 C. Authority. During intervals between meetings of the Board, and except as limited by resolution of the Board or by law, the Executive Committee shall and may exercise all of the authority of the Board in the management of the Partnership. D. Vacancies. Vacancies in the membership of the Executive Committee may but need not be filled by the Board at any regular meeting or at a special meeting called for that purpose. The membership of the Executive Committee may be changed or the Executive Committee may be dissolved by the Board at any annual meeting or by a special meeting called for that purpose. E. Minutes. The Executive Committee shall keep regular minutes of its proceedings and shall report the same to the Board when requested. SECTION 2 - ADVISORY COMMITTEES. The Board may create advisory committees from time to time. The advisory committees shall be appointed by the Chair of the Board and approved by a majority of all Directors in office. The advisory committee shall include one (1) or more Directors. Advisory committees shall not exercise the authority of the Board and shall serve only in an advisory capacity. SECTION 3 - STANDING AND SPECIAL COMMITTEES. The Board may authorize such standing and special committees as are necessary and proper to carry on the affairs of the Partnership. The resolution of creation must designate the authority of the Board that the committee may exercise, as well as any limitations thereon, and the functions that the committee shall discharge. Members of such standing committees, as may be authorized, shall be appointed by the Chair of the Board and approved by a majority of all the Directors in office. Only Directors of the Partnership may serve as voting members or the Chair of such special or standing committees, as may be authorized. The Board may also partner with other organizations HCBOC 072622 ws Pg. 205 21 to serve in an advisory capacity as deemed necessary and proper to carry on the affairs of the Partnership. Such a partnership shall be approved by a majority of the Directors and shall be memorialized by a Memorandum of Understanding. SECTION 4 - GOVERNING PROVISIONS. Meetings, action without meeting, notice and waiver of notice, and quorum and voting requirements of the Board apply to committees, as well as the members of those committees. ARTICLE VI OFFICERS OF THE PARTNERSHIP SECTION 1 - OFFICERS AND ELECTION. The Board may but is not obligated to elect by majority vote a President and a Secretary for the term of one (1) year or until their successors have been appointed, each of whom shall take office after the close of the Annual Meeting of the Board at which he is elected as such. Any two or more offices may be held by the same person, except that no officers may act in more than one capacity where action of two or more officers is required. The Board may elect such additional officers and assign to such officer(s) such duties or responsibilities as the Board may deem necessary or appropriate. Officers shall be eligible to serve unlimited terms of one (1) year each. Officers may delegate and supervise the performance of their duties as necessary; provided, however, that the delegation and supervision of an officer’s duties will not alter the officer’s obligation to discharge his duties in good faith, with the care of a reasonably prudent person in a like position under similar circumstances, and in a manner the officer reasonably believes to be in the best interests of the Partnership. SECTION 2 - PRESIDENT. The Board shall appoint as President of the Partnership the Harnett County Economic Development Director, who shall have the duties described herein. HCBOC 072622 ws Pg. 206 22 The President shall be the chief executive officer of the Partnership and, subject to the instructions of the Board, shall have general control and supervision of the business, affairs, and property of the Partnership and control over its other officers, agents, and employees. The President shall serve as a non-voting, ex officio member of the Board, Executive Committee, and all other committees. The President shall be the official spokesperson of the Partnership, shall cause to be prepared official correspondence, notices, agendas, ad minutes of meetings of the Board, Executive Committee, and all other committees.. The President shall have the powers and duties generally vested in the office of president of a corporation and shall have such other powers and duties as from time to time may be assigned by the Board or the Chair of the Board. The President will have the authority to approve all disbursements and expenditures in accordance with the approved budget. In addition, the President shall carry out the following duties until such time as a Treasurer is elected: (a) have charge and custody of and be responsible for all funds and securities of the Partnership; receive and give receipts for moneys due and payable to the Partnership from any source whatsoever, and deposit all such moneys in the name of the Partnership in such depositories as shall be selected by the Board; (b) maintain appropriate accounting records as required by law; (c) prepare, or cause to be prepared, annual financial statements of the Partnership that include a balance sheet as of the end of the fiscal year and an income and cash flow statement for that year; and (d) in general perform all of the duties incident to the office of the Treasurer and such other duties as from time to time may be prescribed by the Board. SECTION 3 - SECRETARY. If the Board decides to appoint a Secretary, the Secretary shall have the duties described herein. The Secretary or his designee shall have custody of the business records of the Partnership, including the minutes and organizational documents of the HCBOC 072622 ws Pg. 207 23 Partnership, and shall maintain the same in accordance with the standards established by the Board. The Secretary may sign with the Chair of the Board, in the name of the Board, all contracts, agreements, and other obligations authorized to be executed by the Board. The Secretary shall keep an accurate list of the members of the Board and, in general, shall perform all such acts as may be prescribed by the Board and as are usually incident to the office of Secretary. Assistant Secretaries may be elected by the Board as the Board deems appropriately necessary to assist the Secretary or to assume the duties of the Secretary in the Secretary’s absence. SECTION 4 – TREASURER. The Treasurer shall be responsible for maintaining all of the financial records of the Partnership, and providing at each Board meeting the financial statements of the Partnership. The Treasurer shall be responsible for obtaining annual audits of the financial records of the Partnership and providing to the Board of Directors the results of those audits. The Treasurer shall assure the timely filing of all required tax returns and reports. SECTION 5 – DUAL OFFICE. No person may hold more than one (1) office; however, if the Board decides to appoint a Secretary in accordance with Section 3 above, the Board may appoint a single individual to serve as the Secretary and the Treasurer of the Partnership. SECTION 6 - VACANCIES. Vacant offices shall be filled by the act of a majority of Directors present at a meeting of the Board at which a quorum is present. SECTION 7 - REMOVAL OF OFFICERS. Any officer or agent elected or appointed by the Board may be removed by majority vote of the Board when, in the Board’s judgment, the best interests of the Partnership will be served thereby. SECTION 8 - BONDS. The Board may, by resolution, require any officer, agent, or employee of the Partnership to give bond to the Partnership, with sufficient sureties, conditioned HCBOC 072622 ws Pg. 208 24 on the faithful performance of the duties of his respective office or position and to comply with such other conditions as may from time to time be required by the Board. The premiums for all such bonds shall be paid by the Partnership. ARTICLE VII CONTRACTS, LOANS, CHECKS AND DEPOSITS SECTION 1 - CONTRACTS. The Board may authorize any officer or officers, agent or agents, to enter into any contract or execute and deliver any instrument in the name of and on behalf of the Partnership and such authority may be general or confined to specific instances. SECTION 2 - LOANS. No loans shall be contracted on behalf of the Partnership and no evidences of indebtedness shall be issued in its name unless authorized by a resolution of the Board. Such authority may be general or confined to specific instances. SECTION 3 - CHECKS AND DRAFTS. All checks, drafts, or other orders for the payment of money issued in the name of the Partnership shall be signed by such officer or officers, agent or agents, of the Partnership and in such manner as shall from time to time be determined by resolution of the Board. The appropriate officer or officers shall have authority to issue checks of the Partnership so long as the amount thereof and the purpose therefor has been previously authorized in a budget approved by the Board. SECTION 4 - DEPOSITS. All funds of the Partnership not otherwise employed shall be deposited from time to time to the credit of the Partnership in such depositories as the Board may select. HCBOC 072622 ws Pg. 209 25 SECTION 5 – GIFTS. The Board may accept on behalf of the Partnership any contribution, gift, bequest or devise for the general purposes or for any special purpose of the Partnership. ARTICLE VIII GENERAL PROVISIONS SECTION 1 - WAIVER OF NOTICE. Whenever any notice is required to be given to any Director or other person under the provisions of these Bylaws, the Articles of Incorporation, or by applicable law, a waiver thereof in writing signed by the person or persons entitled to such notice, whether before or after the time such notice is due, shall be equivalent to the giving of such notice. SECTION 2 - SEAL. The seal of the Partnership shall be in such form as shall be approved from time to time by the Board. SECTION 3 - FISCAL YEAR. The fiscal year of the Partnership shall be the fiscal year established by resolution of the Board. SECTION 4 - AUDITORS. The Board may, in its discretion, employ a certified public accountant to (i) audit the books of the Partnership for each fiscal year of the Partnership and at such other time or times and for such periods as the Board may deem advisable, and (ii) furnish certified reports on such audits. SECTION 5 - PROHIBITION AGAINST SHARING IN CORPORATE EARNINGS. No officer, Director or employee of, or member of a committee of, or person connected with the Partnership, or any other private individual shall receive at any time any of the net earnings or pecuniary profits from the operations of the Partnership, provided that this shall not prevent the payment to any such person of such reasonable compensation for services HCBOC 072622 ws Pg. 210 26 rendered to or for the Partnership in effecting any of its purposes as shall be fixed by the Board. No such person or persons shall be entitled to share in the distribution of any of the corporate assets upon the dissolution of the Partnership. All Directors and officers of the Partnership shall be deemed to have expressly consented and agreed that upon such dissolution or winding up of the affairs of the Partnership, whether voluntary or involuntary, the assets of the Partnership, after all debts have been satisfied, then remaining in the hands of the Board shall be distributed in such amounts as the Board may determine, or as may be determined by a court of competent jurisdiction upon application of the Board, in the manner set forth in the Articles of Incorporation and these Bylaws. SECTION 6 - AMENDMENTS. These Bylaws may be amended or repealed and new bylaws may be adopted by the affirmative vote of three-fourths (3/4) of the voting Directors then in office at any regular or special meeting of the Board, provided that (i) prior written notice has been given to all members of the Board not less than seven (7) or more than thirty (30) days in advance of the meeting; and (ii) no such action shall change the purposes of the Partnership so as to impair it’s rights and powers under the laws of the State of North Carolina. SECTION 7 - GENDER. Throughout these Bylaws, whenever the context requires or permits, the masculine gender shall be deemed to include the feminine, the neutral gender shall be deemed to include the masculine and the feminine, and the singular shall be deemed to include the plural and vice versa. ARTICLE IX EXEMPT ACTIVITIES Notwithstanding any other provision of these Bylaws, no Director, officer, employee, or other representative of this Partnership shall take any action or carry on any activity by or on HCBOC 072622 ws Pg. 211 27 behalf of the Partnership not permitted to be taken by either (i) an organization exempt under §501(c)(3) of the Code and the regulations thereunder, as they now exist or as they may hereafter be amended, or (ii) an organization, contributions to which are deductible under §170(c)(2) of the Code and the regulations thereunder, as they now exist or as they may hereafter be amended. These Bylaws were duly amended by the Board of Directors of the Harnett County Economic Development Partnership on the ____ day of August, 2022. __________________________ Mike Jones, Secretary [Remainder of this page intentionally left blank] HCBOC 072622 ws Pg. 212 i Bylaws - Rider 1 CONFLICT OF INTEREST POLICY Article I Purpose The purpose of the conflict of interest policy is to protect the Partnership’s interest when it is contemplating entering into a transaction or arrangement that might benefit the private interest of an officer or director of the Partnership or might result in a possible excess benefit transaction. This policy is intended to supplement but not replace any applicable state and federal laws governing conflict of interest applicable to nonprofit and charitable organizations. Article II Definitions 1. Interested Person. Any director, principal officer, or member of a committee with governing board delegated powers, who has a direct or indirect financial interest, as defined below, is an interested person. 2. Financial Interest. A person has a financial interest if the person has, directly or indirectly, through business, investment, or family: (a) An ownership or investment interest in any entity with which the Partnership has a transaction or arrangement; (b) A compensation arrangement with the Partnership or with any entity or individual with which the Partnership has a transaction or arrangement; or (c) A potential ownership or investment interest in, or compensation arrangement with, any entity or individual with which the Partnership is negotiating a transaction or arrangement. Compensation includes direct and indirect remuneration as well as gifts or favors that are not insubstantial. A financial interest is not necessarily a conflict of interest. Under Article III, Section 2, a person who has a financial interest may have a conflict of interest only if the appropriate governing board or committee decides that a conflict of interest exists. HCBOC 072622 ws Pg. 213 ii Article III Procedures 1. Duty to Disclose. In connection with any actual or possible conflict of interest, an interested person must disclose the existence of the financial interest and be given the opportunity to disclose all material facts to the directors and members of committees with governing board delegated powers considering the proposed transaction or arrangement. 2. Determining Whether a Conflict of Interest Exists. After disclosure of the financial interest and all material facts, and after any discussion with the interested person, he/she shall leave the governing board or committee meeting while the determination of a conflict of interest is discussed and voted upon. The remaining board of committee members shall decide if a conflict of interest exists. 3. Procedures for Addressing the Conflict of Interest (a) An interested person may make a presentation at the governing board or committee meeting, but after the presentation, he/she shall leave the meeting during the discussion of, and the vote on, the transaction or arrangement involving the possible conflict of interest. (b) The chairperson of the governing board or committee shall, if appropriate, appoint a disinterested person or committee to investigate alternatives to the proposed transaction or arrangement. (c) After exercising due diligence, the governing board or committee shall determine whether the Partnership can obtain with reasonable efforts a more advantageous transaction or arrangement from a person or entity that would not give rise to a conflict of interest. (d) If more advantageous transaction or arrangement is not reasonably possible under circumstances not producing a conflict of interest, the governing board of committee shall determine by a majority vote of the disinterested directors whether the transaction or arrangement is in the Partnership’s best interest, for its own benefit, and whether it is fair and reasonable. In conformity with the above determination it shall make its decision as to whether to enter into the transaction or arrangement. 4. Violations of the Conflicts of Interest Policy (a) If the governing board or committee has reasonable cause to believe a member has failed to disclose actual or possible conflicts of interest, it shall inform the member of the basis for such belief and afford the member an opportunity to explain the alleged failure to disclose. HCBOC 072622 ws Pg. 214 3 (b) If, after hearing the member’s response and after making further investigation as warranted by the circumstances, the governing board or committee determines the member has failed to disclose an actual or possible conflict of interest, it shall take appropriate disciplinary and corrective action. Article IV Records of Proceedings The minutes of the governing board and all committees with board delegated powers shall contain: 1. The names of the persons who disclosed or otherwise were found to have a financial interest in connection with an actual or possible conflict of interest, the nature of the financial interest, any action taken to determine whether a conflict of interest was present, and the governing board’s or committee’s decision as to whether a conflict of interest in fact existed. 2. The names of the persons who were present for discussions and votes relating to the transaction or arrangement, the content of the discussion, including any alternatives to the proposed transaction or arrangement, and a record of any votes taken in connection with the pleadings. Article V Compensation 1. A voting member of the governing board who receives compensation, directly or indirectly, from the Partnership for services is precluded from voting on matters pertaining to that member’s compensation. 2. A voting member of any committee whose jurisdiction includes compensation matters and who receives compensation, directly or indirectly, from the Partnership for services is precluded from voting on matters pertaining to that member’s compensation. 3. No voting member of the governing board or any committee whose jurisdiction includes compensation matters and who receives compensation, directly or indirectly, from the Partnership, either individually or collectively, is prohibited from providing information to any committee regarding compensation. HCBOC 072622 ws Pg. 215 iv Article VI Annual Statements Each director, principal officer and member of a committee with governing board delegated powers shall annually sign a statement which affirms such person: (a) Has received a copy of the conflict of interest policy; (b) Has read and understands the policy; (c) Has agreed to comply with the policy; and (d) Understands the Partnership is charitable and in order to maintain its federal tax exemption it must engage primarily in activities which accomplish one or more of its tax-exempt purposes. Article VII Periodic Reviews To ensure the Partnership operates in a manner consistent with charitable purposes and does not engage in activities that could jeopardize its tax-exempt status, periodic reviews shall be conducted. The periodic reviews shall, at a minimum, include the following subjects: 1. Whether compensation arrangements and benefits are reasonable, based on competent survey information, and the result of arm’s length bargaining. 2. Whether partnerships, joint ventures and arrangements with management corporations conform to the Partnership’s written policies, are properly recorded, reflect reasonable investment or payments for goods and services, further charitable purposes and do not result in inurement, impermissible private benefit or in an excess benefit transaction. Article VIII Use of Outside Experts When conducting the periodic reviews as provided for in Article VII, the Partnership may, but need not, use outside advisors. If outside experts are used, their use shall not relieve the governing board of its responsibility for ensuring periodic reviews are conducted. 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