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HomeMy WebLinkAbout071426 agenda packet MEETING AGENDA Date: Tuesday, July 14, 2026 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 Duncan Jaggers 2. Pledge of Allegiance and Invocation – Vice Chairman Matt Nicol 3. Harnett County Heroes Remembrance Presentation 4. Consider additions and deletions to the published agenda 5. Consent Agenda A. Meeting Minutes of July 6, 2026 6. Economic Development Quarterly Update; Stephen Barrington, Economic Development Director 7. Discuss recommended Transportation Regulations Updates to the Unified Development Ordinance; Mark Locklear, Development Services Director 8. Development Services briefing on upcoming public hearings: A. PLAN2605-0007, Proposed Rezoning from the RA-20R Zoning District to the Commercial Zoning District; Landowner / Applicant: 1960 Properties, LLC / Chan Ho; 1.19 +/- acres; Pin # 9568-66-9087.000; From RA-20R to Commercial Zoning District; Barbecue Township; NC 87 N & SR # 1207 (Seawell Rosser Road). B. PLAN2606-0001, Proposed Text Amendment to Article V., Section 11.6.1, Subsections F. and G 9. Action: A. Consider amending the Fiscal Year (FY) 2026-2027 Budget Ordinance; Lisa McFadden, Assistant County Manager and Brent Trout, County Manager B. Discuss and consider approving revised Economic Development Incentive Guidelines for new and expanding companies; Stephen Barrington, Economic Development Director C. Discuss and consider a request to approve a 30 year lease with the Bunnlevel Ruritan Club for the development of a future park; Carl Davis, Parks and Recreation Director D. Discuss and consider a request to approve a contract with North Carolina Department of Transportation (NCDOT) for the design and construction of Highland School Rd extension; Jay Sikes, Development Services Assistant Director/ Manager of Planning Services E. Discuss and consider a request to apply for and receive if awarded the North Carolina Center for the Book at North Carolina Humanities Great Read from Great Places grant; Kimberly VanBeck, Library Director HCBOC 071426 Pg.1 Harnett County Board of Commissioners Page | 2 F. Review applications for Boards and Committees. 10. County Manager’s Report – Brent Trout, County Manager A. July 20, 2026 Regular Meeting Agenda Review B. Upcoming meetings and Invitations C. Recognition of Department Accomplishments D. Budget Amendments – Motion to approve budget amendments as requested by the Finance Officer. E. Contracts/Amendments exceeding County Manager’s Signature Threshold – Motion to authorize the Chairman to sign contract amendments exceeding the manager’s signature threshold. i. Continuation of Contract with Blue Cross Blue Shield 11. New Business 12. Commissioners’ Comments 13. Closed Session 14. Adjourn CONDUCT OF THE JULY 14, 2026 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 071426 Pg.2 Harnett County Board of Commissioners Regular Meeting Minutes July 6, 2026 Page 1 of 5 HARNETT COUNTY BOARD OF COMMISSIONERS Regular Meeting Minutes July 6, 2026 The Harnett County Board of Commissioners met on Monday, July 6, 2026 at 9:00 am, in the Commissioners Meeting Room, Harnett County Resource Center and Library, 455 McKinney Parkway, Lillington, North Carolina. Members present: Duncan E. Jaggers, Chairman Matthew B. Nicol, Vice Chairman Barbara McKoy, Commissioner W. Brooks Matthews, Commissioner Member absent: William Morris, Commissioner Staff present: Brent Trout, County Manager Dwight Snow, County Attorney Kimberly Honeycutt, Finance Officer Melissa Capps, Clerk Chairman Jaggers called the meeting to order at 9:00 am. Vice Chairman Nicol led the Pledge of Allegiance and provided the invocation. Eric Truesdale, Veterans Services Director, presented information regarding the Harnett County Heroes Remembrance recognition. We are recognizing and honoring veterans that appear on our Wall of Heroes. These individuals have received awards for acts of individual heroism, not as a unit. Mr. Truesdale read Captain William B. Byrd, Jr.’s citation. Commissioner Matthews presented Captain Byrd’s wife, Ms. Laurie Byrd, with a certificate. Commissioner Matthews made a motion to approve the agenda as published . The motion was seconded by Commissioner McKoy and carried unanimously. Chairman Jaggers opened the public comment period and the following people spoke: 1.Alan Longman of 234 Hamilton Road, Bunnlevel, NC. 2.Marge Moreton of 86 Gwendolyn Way, Fuquay-Varina, NC. No one else spoke and the public comment period was closed. Brent Trout, County Manager, read a Proclamation Commemorating the 250th Anniversary of the Signing of the Declaration of Independence. The Harnett County Board of Commissioners proclaimed that July 4, 2026, and the year 2026 be recognized as a time to commemorate the 250th Anniversary of Item 5 HCBOC 071426 Pg.3 Harnett County Board of Commissioners Regular Meeting Minutes July 6, 2026 Page 2 of 5 the Signing of the Declaration of Independence and to honor the courage and sacrifices made by those patriots who fought for our nation’s freedom. The County of Harnett will commemorate this milestone through civic engagement, educational, and community-oriented events and activities, the dates of which will be announced to the public for their participation and enjoyment of this momentous occasion. Commissioner Matthews made a motion to approve the consent agenda. The motion was seconded by Vice Chairman Nicol and carried unanimously. The following items were on the consent agenda: A. Regular Meeting Minutes of June 15, 2026 B. Special Meeting Minutes of June 24, 2026 C. Special Meeting Minutes of June 30, 2026 Chairman Jaggers opened a hearing to consider a request for a refund of overpayment of excise tax paid by Jones and Jones, PLLC due to the deed being filed twice. Lorie Babb, Assistant Register of Deeds, reviewed a request received from Jones and Jones, PLLC requesting a refund of $340 for an overpayment of excise tax paid due to a deed being recorded twice. The Deed was previously recorded on May 21, 2026 in Book 4343, Page 2709- 2711. The same Deed was recorded on May 22, 2026 in Book 4344, Page 945-947. Both Deeds are for the same transaction. Commissioner McKoy asked how this happened. Attorney Bo Jones stated his assistant filed the deed by mistake as it had been filed by Single Source Real Estate Service the day before. Chairman Jaggers asked if anyone else would like to speak. Eric Stevenson of 100 Valley Stream Road, Spring Lake, NC spoke. No one else spoke and the hearing was closed. Vice Chairman Nicol made a motion to approve the request adopting a Resolution Authorizing Refund of Excise Tax Overpayment. The motion was seconded by Commissioner Matthews and carried unanimously. (Attachment 1) Chairman Jaggers asked if the new software for the Tax Department was up and running yet. Christine Wallace, Tax Administrator shared they had a kickoff last week, the new software will be coming in next week. Discussion included Senate Bill 474, the new software and appeals. Chairman Jaggers stated the new software will help citizens with an appeal. Ms. Wallace stated yes sir. Ms. Wallace stated for mobile homes, once citizens receive their tax bill they can appeal within thirty days. Chairman Jaggers stated we will carry the discussion of amending the Fiscal Year (FY) 2026-2027 Budget Ordinance over to the next agenda since the bill has not been signed yet. Brad Abate, Harnett Regional Jetport Director, reviewed a request to accept a $500,000 grant from Golden Leaf Foundation for the Corporate Area Development Project. It is a non-matching grant for economic impact. Vice Chairman Nicol made a motion to accept the $500,000 grant from Golden Leaf Foundation for the Corporate Area Development Project. The motion was seconded by Commissioner McKoy and carried unanimously. Mr. Abate also reviewed a request to award the Corporate Area Development Project Bid to Fred Smith Company in the amount of $7,470,000 and allow the County Manager to sign documents related to the project. This project consists of the development of a large corporate apron, connector taxiway, and pad ready sites for up to 8 corporate hangars to accommodate existing demand per the County hangar HCBOC 071426 Pg.4 Harnett County Board of Commissioners Regular Meeting Minutes July 6, 2026 Page 3 of 5 construction waiting list. The first phase of development to be constructed will involve the design and relocation of Airport Road and associated utilities. There was a bid irregularity concerning an additive bid for a Jetport sign and after discussion with our engineer, county administration, and counsel, the sign addition was not included with this award and will be pursued separately at a later date. Vice Chairman Nicol made a motion to approve the request to award the Corporate Area Development Project Bid to Fred Smith Company in the amount of $7,470,000 and allow the County Manager to sign documents related to the project. Commissioner Matthews seconded the motion, and it carried unanimously. Mr. Abate also reviewed a request to approve an amendment to the project ordinance for the Corporate Area Development Project. The amendment would amend the project budget to award a construction contract to Fred Smith Company which includes grading, stormwater infrastructure, road relocation, fencing, and other site preparation work necessary to support future land leases for hangar construction. The contract will also include the relocation of the jetport entrance. Vice Chairman Nicol made a motion to approve an amendment to the project ordinance for the Corporate Area Development Project. The motion was seconded by Commissioner McKoy and carried unanimously. (Attachment 2) Kimberly VanBeck reviewed a request to approve an agreement with NC Cardinal Consortium. As a member of this consortium, the Harnett County Public Library System has access to an integrated library system, shared catalog, and shared library materials. This collaboration with the Library of North Carolina and other member libraries leverages federal and local funds to achieve operational efficiencies and savings for the library while providing a more effective use of public library resources. Commissioner Matthews made a motion to approve an agreement with NC Cardinal Consortium to continue the membership as requested. Vice Chairman Nicol seconded the motion. Commissioner McKoy asked how often do we renew our membership. Ms. VanBeck stated it is a yearly membership. Motion carried unanimously. Coley Price, Deputy County Manager, reviewed a request to approve a contract with Alliance Health. Alliance Health manages the provision of high quality, cost-effective mental health, developmental disabilities and substance use services (MH/DD/SUS) to residents of Harnett County. The annual allocation of $408,000 shall be used towards the provision of services at Daymark Recovery Services in Erwin in the amount of $400,000 and for administrative costs associated with administering the obligations in the amount of $8,000.Funding for this contract is included in the FY 26-27 Recommended Budget. Commissioner McKoy made a motion to approve a contract with Alliance Health. The motion was seconded by Commissioner Matthews and carried unanimously. Brent Trout, County Manager, reviewed a request for approval to accept $847,530 in funding provided through the Home and Community Block Care Grant from Mid-Carolina Area Agency on Aging and authorization for the Chairman to execute the agreement. Commissioner Matthews made a motion to approve the acceptance of $847,530 in funding provided through the Home and Community Block Care Grant from Mid-Carolina Area Agency on Aging and authorize the Chairman to execute the agreement. The motion was seconded by Vice Chairman Nicol and carried unanimously. The Board of Commissioners reviewed applications to serve on boards and committees. Chairman Jaggers made a motion to appoint Dr. Christopher Stewart to the Board of Health in the Physician vacancy. The motion was seconded by Commissioner Matthews and carried unanimously. HCBOC 071426 Pg.5 Harnett County Board of Commissioners Regular Meeting Minutes July 6, 2026 Page 4 of 5 Mr. Trout shared the Historic Preservation and Heritage Tourism Commission met. Melanie Collins was a member and her term expired in March and she is seeking reappointment. We also have a vacancy in District 5. Chairman Jaggers stated I would like to hold over the applications for the Historic Preservation and Heritage Tourism Commission till the next meeting. Brent Trout, County Manager, reviewed information regarding the County entering into Stage 1 Voluntary Water Restrictions. Late Thursday we received guidance from the U.S. Army Corps of Engineers regarding Jordan Lake discharge reductions. Harnett Regional Water implemented Stage 1 Water Conservation. Mr. Trout shared the First Responders Advisory Committee did meet for its first time last month. They are excited to get together. They will meet on the 3rd Wednesday of every month for at least the next 6 months. Mr. Trout stated as I shared earlier the Historic Preservation and Heritage Tourism Commission also met and they are excited as well to have this new challenge as it relates to looking at tourism locations that the county may need to preserve in the future. They will be meeting on the 4th Tuesday of every month. We read the Proclamation for America 250. The first local event is coming up, July 25th. They are going to do a costume ball in this building from 6:30 to 9:00 pm. You do not have to dress up. Other events will be coming up. Mr. Trout stated he visited the new Northwest Convenience site Thursday, it is well constructed, easy to get into. Senate Bill 876 passed which included a local bill for an Airport Overlay. Mr. Trout shared information regarding recent events held by the Health Department. Vice Chairman Nicol made a motion to authorize the Chairman to sign contract amendments exceeding the manager’s signature threshold. The motion was seconded by Commissioner McKoy and carried unanimously. The following contract amendments were approved: i. Tyco Technology (Johnson Controls) - This is for HVAC service and repairs covered in our contract. ii. Omnico for $489,264 - This is cleaning contract for the Courthouse, ROD, Tax, Health, Social Services, Detention Center, HRW, and RCL building. iii. Gregory Poole - in the amount of $300,000 for equipment repairs and maintenance services. iv. Chemical Contracts/Amendments for FY 27: 1. Superb Solutions $685,000 2. Brenntag Mid-South $250,000 3. Hawkins $320,000 4. TSM Enterprises $250,000 5. Hawkins $275,000 6. Polytec $470,000 v. Harnett Regional Water Contracts/Amendments for FY 27: HCBOC 071426 Pg.6 Harnett County Board of Commissioners Regular Meeting Minutes July 6, 2026 Page 5 of 5 1. Waste Industries $1,732,828.80 2. Dale's Hauling, LLC $696,340.46 3. Hickman Site Solutions, LLC $336,580 4. The Huffstetler Group Inc. $606,825 5. Tyco Technology GMBH DBA Johnson Controls $401,830 6. Municipal Controls, Inc $472,300 7. RLT & Associates, Inc. $572,000 8. Charles R. Underwood Inc. $2,766,120 9. Sanford Electrical Contractors $598,900 10. Utility Service Company Inc. $550,000 11. R.L. Haire Electric & Controls, LLC $450,971 12. Holland Industrial $354,265 13. Landia, Inc. $551,800 14. Westside Oil Company, Inc. $270,000 15. CSG Systems Inc. $351,000 16. Hazen & Sawyer $292,000 vi. Chemical Amendment – Cape Fear Solutions $250,000 vii. North Carolina Alliance of Public Health Agencies (NCAPHA) Contract $461,454 Commissioner McKoy made a motion to go into Closed Session for the following purposes: 1) Consult with the county’s legal counsel in order to preserve the attorney-client privilege concerning the handling of certain litigation including the following case: Estate of Griffith vs. Grady, et al, US District Court for the Eastern District of NC; Case File No. 5-28-CV -329-D- RN; and 2) To discuss a certain Economic Development matter; and 3) To discuss certain personnel matters. This motion is made pursuant to NC General Statute 143-318.11 (a) (3), (4) and (5). The motion was seconded by Commissioner Matthews and carried unanimously. Following a motion to come out of Closed Session, Chairman Jaggers called the meeting back to order in open session. Vice Chairman Nicol made a motion to adjourn at 10:56 am. The motion was seconded by Commissioner Matthews and carried unanimously. ____________________________________ ___________________________________ Duncan E. Jaggers, Chairman Melissa Capps, Clerk HCBOC 071426 Pg.7 Attachment 1 HCBOC 071426 Pg.8 Attachment 2 HCBOC 071426 Pg.9 C:\Users\mdcapps\AppData\Local\Microsoft\Windows\INetCache\Content.Outlook\9451HUBD\2026.07.14_BOC Agenda Item_Econ Dev Update.docx Page 1 of 1 Board Meeting Agenda Item MEETING DATE: July 14, 2026 TO: HARNETT COUNTY BOARD OF COMMISSIONERS SUBJECT: Economic Development Update REQUESTED BY: Economic Development, Stephen Barrington REQUEST: Economic Development Update for the Board of Commissioners FINANCE OFFICER’S RECOMMENDATION: COUNTY MANAGER’S RECOMMENDATION: Item 6 HCBOC 071426 Pg.10 HCBOC 071426 Pg.11 HCBOC 071426 Pg.12 HCBOC 071426 Pg.13 HCBOC 071426 Pg.14 HCBOC 071426 Pg.15 HCBOC 071426 Pg.16 HCBOC 071426 Pg.17 HCBOC 071426 Pg.18 HCBOC 071426 Pg.19 HCBOC 071426 Pg.20 HCBOC 071426 Pg.21 HCBOC 071426 Pg.22 HCBOC 071426 Pg.23 HCBOC 071426 Pg.24 HCBOC 071426 Pg.25 HCBOC 071426 Pg.26 HCBOC 071426 Pg.27 HCBOC 071426 Pg.28 HCBOC 071426 Pg.29 HCBOC 071426 Pg.30 HCBOC 071426 Pg.31 HCBOC 071426 Pg.32 HCBOC 071426 Pg.33 HCBOC 071426 Pg.34 HCBOC 071426 Pg.35 HCBOC 071426 Pg.36 HCBOC 071426 Pg.37 HCBOC 071426 Pg.38 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\7.1 Agenda_Form_UDO_Transportation_Update_Proposed_Text_Amendment_Discussion.docx Page 1 of 2 Board Meeting Agenda Item MEETING DATE: July 14, 2026 TO: HARNETT COUNTY BOARD OF COMMISSIONERS SUBJECT: Discuss Recommended Transportation Regulations Updates to the Unified Development Ordinance REQUESTED BY: Mark Locklear, Director of Development Services REQUEST: Development Services staff is requesting to discuss the findings and recommendations of a review of the Unified Development Ordinance performed by the department's transportation consulting firm, Kittleson & Associates. If directed by the Board, Development Services staff will proceed with implementing these recommendations and return in the coming months with a proposed text amendment to the Unified Development Ordinance for the Board's consideration. BACKGROUND: Development Services staff consulted Kittleson & Associates, the department's on-call transportation engineer, to perform a review of the Unified Development Ordinance and produce a transportation needs assessment. The review was performed to support the County's ongoing effort to update the Unified Development Ordinance so that the development regulations align with best practices and promote a safe, efficient, and context-sensitive transportation system. Harnett Horizons 2040 Comprehensive Land Use Plan Transportation Recommendations: Goal 2: Develop Improved base standards for developments. Strategy 2A: Continue to enforce and refine tiered subdivision standards based on district and density. A.1: Update requirements and standards in the Unified Development Ordinance related to: -Collector streets -Driveway spacing along arterials -Connectivity requirements -Sidewalks Item 7 HCBOC 071426 Pg.39 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\7.1 Agenda_Form_UDO_Transportation_Update_Proposed_Text_Amendment_Discussion.docx Page 2 of 2 Strategy 2B: Enhance transportation requirements for large commercial and residential development B.1: Create multiple tiers of traffic impact analysis requirements based on daily trips required by new development projects. B.2: Hire a consulting traffic engineer to advise the County on TIA requirements and reviews. B.3: Require the addition of turn lanes (left turn and right deceleration lane) with appropriate stacking for subdivisions and development projects as needed. B.4: Require the reservation of right-of-way for planned and necessary improvements during the development review process. FINANCE OFFICER’S RECOMMENDATION: COUNTY MANAGER’S RECOMMENDATION: HCBOC 071426 Pg.40 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\8A.1 Agenda_Form_PLAN2605- 0007_ChanHo_Rezoning_Comm.docx Page 1 of 2 Board Meeting Agenda Item MEETING DATE: July 20, 2026 TO: HARNETT COUNTY BOARD OF COMMISSIONERS SUBJECT: PLAN2605-0007, Proposed Rezoning from the RA-20R Zoning District to the Commercial Zoning District REQUESTED BY: Sarah Arbour, Development Services REQUEST: Landowner / Applicant: 1960 Properties, LLC / Chan Ho; 1.19 +/- acres; Pin # 9568-66- 9087.000; From RA-20R to Commercial Zoning District; Barbecue Township; NC 87 N & SR # 1207 (Seawell Rosser Road). Development Services staff is recommending approval of the requested rezoning from the RA-20R zoning district to the Commercial zoning district. Through evaluation, staff found the request to be compatible with the future land use designation, Rural Center, and the surrounding commercial land uses. Additional Information: At the July 6, 2026 Planning Board meeting, the Board voted unanimously (5-0) to recommend approval of the requested rezoning from the RA-20R zoning district to the Commercial zoning district. The Board found that the requested rezoning was compatible with the future land use designation and the surrounding commercial land uses. There was no opposition to the proposed rezoning. FINANCE OFFICER’S RECOMMENDATION: COUNTY MANAGER’S RECOMMENDATION: Item 8A HCBOC 071426 Pg.41 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\8A.1 Agenda_Form_PLAN2605- 0007_ChanHo_Rezoning_Comm.docx Page 2 of 2 HCBOC 071426 Pg.42 HCBOC 071426 Pg.43 HCBOC 071426 Pg.44 STAFF REPORT Page 1 of 10 REZONING STAFF REPORT Case: PLAN2605-0007 Sarah Arbour, Long Range Planner sarbour@harnett.org Phone: (910) 814-6414 Fax: (910) 814-8278 Planning Board: July 6, 2026 County Commissioners: July 20, 2026 Rezoning Request: RA-20R to Commercial Zoning District Applicant Information Owner of Record: Applicant: Name: 1960 Properties, LLC. Name: Chan Ho Address: 300 Black Belt World Drive Address: 300 Black Belt World Drive City/State/Zip: Knightdale, NC 27545 City/State/Zip: Knightdale, NC 27545 Property Description PIN(s): 9568-66-9087.000 Acreage: 1.19 Address/SR No.: 520 Seawell Rosser Rd., Sanford, NC 27332 Township: Johnsonville Lillington Neill’s Creek Stewart’s Creek Upper Little River Anderson Creek Averasboro Barbecue Black River Buckhorn Duke Grove Hectors Creek Vicinity Map Site HCBOC 071426 Pg.45 STAFF REPORT Page 2 of 10 Physical Characteristics Site Description The property is vacant and fronts both Seawell Rosser Rd. and NC 87 N. The property was formerly used for residential purposes until a recent demolition in 2024. Background A rezoning petition submitted for the property in April of 2025 was denied by the Board of Commissioners. Since this time, a 3-acre property located directly across NC 87 N. was rezoned to Commercial from the RA-20R zoning district. Surrounding Land Uses Surrounding land uses include the Olivia Post Office, a convenience store, a communications station, a massage & body therapy practice, and single-family residences. Services Available Water: Public (Harnett County) Private (Well) Other: Unverified Sewer: Public (Harnett County) Private (Septic Tank) Other: HCBOC 071426 Pg.46 STAFF REPORT Page 3 of 10 Transportation Annual Average Daily Traffic counts: Seawell Rosser Rd.: 150 AADT, 2024 NC 87 N.: 28,500 AADT, 2024 Site Distances: Seawell Rosser Rd.: Good NC 87 N.: Fair; Reduced due to the topography and curvature of the road Zoning District Compatibility Current RA-20R Requested Commercial Parks & Rec X X Natural Preserves X X Bona Fide Farms X X Single Family X Manufactured Homes, (with design criteria) X Manufactured Homes X Multi-Family X & SUP Institutional X X Commercial Services SUP X Retail X Wholesale SUP Industrial Manufacturing SUP The following is a summary list of potential uses. For all applicable uses for each Zoning district please refer to the UDO’s Table of Uses. HCBOC 071426 Pg.47 STAFF REPORT Page 4 of 10 Land Use Classification Compatibility ZONING LAND USES Commercial Rural Center Parks & Rec X X Natural Preserves X X Bona Fide Farms X X Single Family Manufactured Homes, Design Regulated Manufactured Homes Multi-Family Institutional X X Commercial Service X X Retail X X Wholesale SUP SUP Industrial Manufacturing SUP SUP The above is a summary list of potential uses. For all applicable uses for each Zoning district, please refer to the UDO’s Table of Uses. Site Photographs Site HCBOC 071426 Pg.48 STAFF REPORT Page 5 of 10 Street View Seawell Rosser Rd. South View Seawell Rosser Rd. North View HCBOC 071426 Pg.49 STAFF REPORT Page 6 of 10 NC 87 N. North View NC 87 N. South View Across Road Seawell Rosser Rd. NC 87 N. HCBOC 071426 Pg.50 STAFF REPORT Page 7 of 10 Surrounding Land Uses HCBOC 071426 Pg.51 STAFF REPORT Page 8 of 10 Evaluation Yes No A. The proposal will place all property similarly situated in the area in the same category, or in appropriate complementary categories. The subject property is located within a mixed-use area characterized by both residential and non-residential land uses. The subject property is adjacent to property zoned Commercial with several existing commercial uses present. Yes No B. There is a convincing demonstration that all uses permitted under the proposed district classification would be in the interest of the general public and not merely the interest of the individual or small group. The requested zoning district is compatible with the underlying land use, Rural Center. This land use classification is a mixed-use land use classification that encourages small-scale commercial centers near residential land uses. Yes No C. There is a convincing demonstration that all uses permitted under the proposed district classification would be appropriate in the area included in the proposed change. (When a new district designation is assigned, any use permitted in the district is allowable, so long as it meets district requirements, and not merely uses which applicants state they intend to make of the property involved.) There is a convincing demonstration that all uses permitted under the proposed zoning district classification would be appropriate in the area included in the proposed change. The uses permitted in the Commercial zoning district are compatible with the surrounding and nearby commercial land uses. Additionally, the property has access to water and sewer utility services and is classified as Rural Center on the future land use map. Yes No D. There is a convincing demonstration that the character of the neighborhood will not be materially and adversely affected by any use permitted in the proposed change. There is a convincing demonstration that the character of the neighborhood will not be materially and adversely affected by the uses permitted in the requested zoning district. The uses permitted in the Commercial zoning district are compatible with the nearby non -residential land uses. HCBOC 071426 Pg.52 STAFF REPORT Page 9 of 10 Yes No E. The proposed change is in accordance with the comprehensive plan and sound planning practices. The requested zoning district is compatible with the future land use classification, Rural Center . The Rural Center Future Land Use classification supports uses permitted in the Commercial Zoning District. Additionally, the proposed rezoning advances the following goals and strategies outlined in the Harnett Horizons 2040 Land Use Plan: Harnett Horizons 2040 Land Use Plan Land Use Goal 4: Encourage commercial recruitment (including retail and restaurants) to address leakage trends. Strategy 4A: Encourage commercial and retail development in non-residential and mixed-use areas identified on the Future Land Use Map. Strategy 4C: Encourage investment in potential commercial corridors that will serve as gateways into the County. Major gateways include I-95, US 401, US 421, NC 87, NC 210, NC 55. Suggested Statement-of-Consistency (Staff concludes that…) As stated in the evaluation, the requested rezoning to Commercial is reasonable. The requested rezoning would not negatively impact the surrounding community based on compatibility with the future land use plan, surrounding land uses, the availability of utilities, and access to a major county thoroughfare. Therefore, staff is recommending APPROVAL of the rezoning request. Additional Information At the July 6, 2026, Planning Board meeting, the Board voted unanimously (5-0) to approve the requested rezoning based on compatibility with the future land use plan and the surrounding land uses. No one spoke in opposition. Standards of Review and Worksheet TYPICAL REVIEW STANDARDS The Planning Board shall consider and make recommendations to the County Board of Commissioners concerning each proposed zoning district. The following policy guidelines shall be followed by the Planning Board concerning zoning districts and no proposed zoning district will receive favorable recommendation unless: Yes No A. The proposal will place all property similarly situated in the area in the same category, or in appropriate complementary categories. Yes No B. There is convincing demonstration that all uses permitted under the proposed district classification would be in the general public interest and not merely in the interest of the individual or small group. Yes No C. There is convincing demonstration that all uses permitted under the proposed district classification would be appropriate in the area included in the proposed change. (When a new district designation is assigned, any use permitted in the district is allowable, so long as it meets district requirements, and not merely uses which applicants state they intend to make of the property involved.) HCBOC 071426 Pg.53 STAFF REPORT Page 10 of 10 Yes No D. There is convincing demonstration that the character of the neighborhood will not be materially and adversely affected by any use permitted in the proposed change. Yes No E. The proposed change is in accordance with the comprehensive plan and sound planning practices. GRANTING THE REZONING REQUEST Motion to grant the rezoning upon finding that the rezoning is reasonable based on All of the above findings of fact A-E being found in the affirmative and that the rezoning advances the public interest. DENYING THE REZONING REQUEST Motion to deny the rezoning upon finding that the proposed rezoning does not advance the public interest and is unreasonable due to the following: The proposal will not place all property similarly situated in the area in the same category, or in appropriate complementary categories. There is not convincing demonstration that all uses permitted under the proposed district classification would be in the general public interest and not merely in the interest of the individual or small group. There is not convincing demonstration that all uses permitted under the proposed district classification would be appropriate in the area included in the proposed change. (When a new district designation is assigned, any use permitted in the district is allowable, so long as it meets district requirements, and not merely uses which applicants state they intend to make of the property involved.) There is not convincing demonstration that the character of the neighborhood will not be materially and adversely affected by any use permitted in the proposed change. The proposed change is not in accordance with the comprehensive plan and sound planning practices. The proposed change was not found to be reasonable for a small scale rezoning HCBOC 071426 Pg.54 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\8B.1 Agenda_Form_PLAN2606- 0001_TextAmendment_ArtV_11.6.1FG.docx Page 1 of 2 Board Meeting Agenda Item MEETING DATE: July 20, 2026 TO: HARNETT COUNTY BOARD OF COMMISSIONERS SUBJECT: PLAN2606-0001, Proposed Text Amendment to Article V., Section 11.6.1, Subsections F. and G. REQUESTED BY: Sarah Arbour, Development Services REQUEST: Applicant: HH Spring Lake MHP Spring Lake NC, LLC; Harnett County Unified Development Ordinance; Article V., 11.6.1(F),(G), “Manufactured Home Park Prohibited Uses & Structures” Development Services staff found that the text amendment is reasonable due to compatibility with similar existing regulations and the Harnett Horizons 2040 Future Land Use Plan. Additional Information: At the July 6, 2026, Planning Board meeting, the Board voted unanimously (5-0) to recommend approval of the requested text amendment with a revision. The Board recommended additional language that explicitly prohibits the sales of all other vehicle types in manufactured home parks. Staff updated the text based on the Board's recommendation. There was no one present to speak in opposition. Item 8B HCBOC 071426 Pg.55 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\8B.1 Agenda_Form_PLAN2606- 0001_TextAmendment_ArtV_11.6.1FG.docx Page 2 of 2 FINANCE OFFICER’S RECOMMENDATION: COUNTY MANAGER’S RECOMMENDATION: HCBOC 071426 Pg.56 Page 1 of 3 TEXT AMENDMENT REQUEST FORM (External) Development Services 420 Mckinney Pkwy P.O. Box 65, Lillington, NC 27546 Phone: (910) 893-7525 Fax: (910) 893-2793 Case: PLAN2606-0001 Staff Contact: Sarah Arbour, Long Range Planner (910) 814-6414 Planning Board: July 6, 2026 County Commissioners: July 20, 2026 Applicant Information Applicant: Name: HH Spring Lake MHP Spring Lake NC, LLC dba Spring Lake Address: 216 Connie Court City/State/Zip: Spring Lake, NC 28390 Phone: 707-272-0761 Type of Change New Addition Revision Ordinance: Unified Development Ordinance Article: V. Section: 11.6.1, F., G. Current Text: F. Prohibited Uses & Structures No part of the park shall be used for nonresidential purposes, excluding facilities related to the maintenance of the park. The following uses and structures shall be prohibited within manufactured home parks: 1. The transfer of a manufactured home space or spaces either by sale or by any other means within a manufactured home park 2. The storage of abandoned or junk vehicles 3. The storage of uninhabitable manufactured homes 4. Recreational Vehicles (RVs) as a permanent residence 5. Storage of possessions and equipment under the manufactured home Proposed Text: See Attachment 1: Proposed Text Reason for Requested Change: To amend Harnett County’s U.D.O. pertaining to Manufactured Home Park use regulations Currently, manufactured home park sales offices are not permitted as an accessory use within a manufactured home park because non-residential land uses are expressly prohibited in the manufactured home park use regulations. The proposed amendment creates a new subsection, G., to specify that the sale of manufactured homes is permitted as an accessory use within parks. HCBOC 071426 Pg.57 Page 2 of 3 The requested text amendment was initially proposed by HH Spring Lake MHP Spring Lake NC, LLC., a company who owns manufactured home parks in the county. The applicant was unable to obtain a manufactured home dealership license within a manufactured home park due to the provisions of NCGS § 20-286, specifically that a sales office must be located on-site. By amending the text to allow for the sale of manufactured homes as an accessory use, the applicant will be able to obtain a dealer’s license from the State and sell manufactured homes within a manufactured home park. The proposed text amendment will allow for the sales of manufactured homes within a park to operate in the same manner as rentals within a manufactured home park currently take place with no additional impact to the community or surrounding land uses. Suggested Statement-of-Consistency: (Staff concludes that…) The requested Text Amendment is reasonable due to compatibility with similar existing regulations and the Harnett Horizons 2040 Future Land Use Plan. The proposed text amendment will allow for the sales of manufactured homes within a park to operate in the same manner as rentals within a manufactured home park currently take place with no additional impact on the community or surrounding land uses. Additionally, the text amendment advances Goal 1, Strategy 1C, in the Housing chapter of the Harnett Horizons 2040 Future Land Use Plan. Harnett Horizons 2040 Future Land Use Plan Housing Goal 1: Accommodate a mixture of housing types in appropriate areas. Strategy 1C: Remove regulatory barriers to meet market demand for different housing types. Therefore, it is recommended that this Text Amendment request be APPROVED. Additional Information At the July 6, 2026, Planning Board meeting, the Board voted unanimously (5-0) to recommend approval of the requested text amendment with a revision. The Board recommended additional language that explicitly prohibits the sales of all other vehicle types in manufactured home parks. Staff updated the text based on the Board's recommendation. There was no one present to speak in opposition. HCBOC 071426 Pg.58 Page 3 of 3 Attachment 1: Proposed Text Red text is proposed Article V . Use Regulations 11.6 Manufactured Home Park 11.6.1 General Provisions F. Manufactured Home Park Sales Offices 1. Sales are limited to existing, permitted lots 2. All associated manufactured homes shall be properly permitted in accordance with the requirements of Harnett County and the State of North Carolina 3. Display of model homes and surplus inventory is prohibited 4. No vehicle other than a manufactured home shall be sold or displayed for sale on the premises G. Prohibited Uses & Structures No part of the park shall be used for nonresidential purposes, excluding facilities related to the maintenance of the park and facilities used as a dedicated office for the purpose of renting, leasing, or selling of a manufactured home for which the park owner holds the title and for which all permits and approvals required by law to install the manufactured home have been obtained. The following uses and structures shall be prohibited within manufactured home parks: 1. The transfer of a manufactured home space or spaces either by sale or by any other means within a manufactured home park 2. The storage of abandoned or junk vehicles 3. The storage of uninhabitable manufactured homes 4. Recreational Vehicles (RVs) as a permanent residence 5. Storage of possessions and equipment under the manufactured home HCBOC 071426 Pg.59 Harnett County Board of Commissioners Page | 1 AN ORDINANCE AMENDING THE HARNETT COUNTY UNIFIED DEVELOPMENT ORDINANCE WHEREAS, the Board of Commissioners of Harnett County adopted the UDO on October 17, 2011 for the purpose of promoting the health, safety, and general welfare of the county residents; and WHEREAS, this ordinance was adopted under authority granted by the General Assembly of the State of North Carolina, particularly G.S. 153A-340; and WHEREAS, the UDO contains provisions for amending said ordinance and those provisions have been followed; and WHEREAS, the Harnett County Planning Board has reviewed the amendment to the article of the UDO as listed below and recommends the adoption of the following amendment. NOW, THEREFORE BE IT ORDAINED BY THE BOARD OF COMMISSIONERS OF HARNETT COUNTY, NORTH CAROLINA that Harnett County Unified Development Ordinance Article V., Use Regulations, Section 11.6.1.F. and G.; shall be amended to read as indicated in “Attachment”. “Attachment” is filed with the Unified Development Ordinance in the Clerk to the Board’s Office. Duly adopted this 20th day of July 2026 and effective upon adoption. HARNETT COUNTY BOARD OF COMMISSIONERS _______________________________ Duncan Edward Jaggers, Chairman ATTEST: ____________________________________ Melissa D. Capps, Clerk HCBOC 071426 Pg.60 Harnett County Board of Commissioners Page | 2 ATTACHMENT ARTICLE V. 11.6.1 General Provisions F. Manufactured Home Park Sales Offices 1. Sales are limited to existing, permitted lots 2. All associated manufactured homes shall be properly permitted in accordance with the requirements of Harnett County and the State of North Carolina 3. Display of model homes and surplus inventory is prohibited 4. No vehicle other than a manufactured home shall be sold or displayed for sale on the premises. G. Prohibited Uses & Structures No part of the park shall be used for nonresidential purposes, excluding facilities related to the maintenance of the park and facilities used as a dedicated office for the purpose of renting, leasing, or selling of a manufactured home for which the park owner holds the title and for which all permits and approvals required by law to install the manufactured home have been obtained. The following uses and structures shall be prohibited within manufactured home parks: 1. The transfer of a manufactured home space or spaces either by sale or by any other means within a manufactured home park 2. The storage of abandoned or junk vehicles 3. The storage of uninhabitable manufactured homes 4. Recreational Vehicles (RVs) as a permanent residence 5. Storage of possessions and equipment under the manufactured home HCBOC 071426 Pg.61 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\9B.1 2026.07.14_Agenda Item_Econ Dev Incentive Guidelines.docx Page 1 of 1 Board Meeting Agenda Item MEETING DATE: July 14, 2026 TO: HARNETT COUNTY BOARD OF COMMISSIONERS SUBJECT: Approval of Economic Development Incentive Guidelines REQUESTED BY: Economic Development, Stephen Barrington REQUEST: Harnett Economic Development Department is requesting the Board of Commissioners to approve revised Economic Development Incentive Guidelines for new and expanding companies. The revisions better align with competitive projects, competing communities, and allow the County increased flexibility for discretionary Economic Development Incentive Grants. FINANCE OFFICER’S RECOMMENDATION: COUNTY MANAGER’S RECOMMENDATION: Item 9B HCBOC 071426 Pg.62 Board of Commissioner Approved: [Date] HARNETT COUNTY, NORTH CAROLINA ECONOMIC DEVELOPMENT INCENTIVE GUIDELINES Harnett County Board of Commissioners have demonstrated a strong interest in growing the Manufacturing sector across the county. The Economic Development Incentive (EDI) Grant is a discretionary tool that Harnett County Board of Commissioners may employ, on a case-by-case basis, to support new and expanding manufacturing i companies and other transformative ii projects. EDI recommendations should come directly from Economic Development or County Administrative staff. To receive an EDI grant, manufacturers should meet the following minimum standards and meet the “but for” requirement intended for competitive projects. (See Disclaimers for more information) •20 new jobs •$10 million in new real and personal property taxes The EDI grant is measured as a certain percentage (%) of future property tax collections for a stated number of years. Harnett County Board of Commissioners may elect to… •Allow a company to delay the start of Year 1 EDI grant for up to two (2) years beyond the current tax year to maximize their EDI grant award. This is most beneficial for companies that will construct their building/facility before becoming operational. •Allow a company to add additional amounts of capital investments for the purpose of calculating incentives annually. EDI Guidelines Taxable Investment Pay Period (Up to) Grant % 125%+ Average Wage $10M - < $50M 5 Years 50% Up to 75% $50M - < $100M 7 Years 50% $100M + 10 Years 50% Real Estate – Lessee Should Lessee pay a lease rate plus NNN, and the real estate owner agrees to be a third-party pass- through entity, the company leasing space may be eligible to receive an incentive grant based on their pro-rata share of real estate property taxes. Local Government Match Harnett County Board of Commissioners may consider providing required local government matching funds for eligible Grants. This may include manufacturing companies whereby the investment is less than $10M. Non-Cash Grant Incentives Harnett County Board of Commissioners may choose to provide non-cash grant incentives such as an extension of public utilities, as allowable in North Carolina statutes. HCBOC 071426 Pg.63 Disclaimers: 1. Meeting eligibility does not automatically mean a company will receive an EDI grant. EDI grants meeting eligibility will be considered on a project-by-project basis by the Board of Commissioners and determined by the needs of the individual project; 2. Land value is not included in taxable investment; 3. If purchasing an existing building, only the taxable investment above the current real property value may be considered; 4. Special tax districts including school, fire, downtown, etc. are not included in the calculation of incentives; 5. Grant payments will be made to companies each year after they have fully paid their annual taxes and met other terms of their agreement; 6. The calculation of X% of taxes each year for a certain number of years is for ease of calculation only, assures a positive return on investment for local government, and whereby grants can be paid from any fund source whatsoever that is not otherwise limited in its purposes and uses. Legislative Authorization: G.S. 158-7.1 i Manufacturing in Harnett County yields a multiplier above the national average for Jobs, Earnings, and Sales and is a staple economic development industry focus. ii Transformative projects are non-manufacturing for -profit entities, across industry sectors, intended to yield an intentional community desire . Transformative projects should yield significant taxable investment and or good quality jobs. HCBOC 071426 Pg.64 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\9C.1 agendaform2026_Bunnlevel Ruritan Property Lease.docx Page 1 of 1 Board Meeting Agenda Item MEETING DATE: July 14, 2026 TO: HARNETT COUNTY BOARD OF COMMISSIONERS SUBJECT: Bunnlevel Ruritan Club Lease for Park Development REQUESTED BY: Carl Davis, Parks and Recreation Director REQUEST: Parks and Recreation requests the approval of a 30-year lease with the Bunnlevel Ruritan Club for the development of a future park. The lease will allow the County to add a community park into an area that currently does not have public recreational facilities within a 5-mile radius. FINANCE OFFICER’S RECOMMENDATION: COUNTY MANAGER’S RECOMMENDATION: Item 9C HCBOC 071426 Pg.65 NORTH CAROLINA LEASE AGREEMENT HARNETT COUNTY THIS LEASE AGREEMENT (“Lease”), made and entered into this ___ day of ______________ 2026, by and between County of Harnett (hereinafter referred to as “LESSEE”) and the Bunnlevel Ruritan Club (hereinafter referred to as “LESSOR”). WHEREAS, LESSOR owns the property located at 110 Candle Bush Lane(PIN 0566-67-0343.000), Bunnlevel, North Carolina 28323 and 138 Candle Bush Lane (PIN 0566-67-1129.000), Bunnlevel, North Carolina 28323 (hereinafter referred to as the “Ruritan Club”); and WHEREAS, LESSEE desires to lease a portion of the Ruritan Club for a Harnett County Park; and WHEREAS, LESSOR and LESSEE desire to enter into this Lease for the purpose of setting forth the respective rights, obligations, and duties of each party. NOW, THEREFORE, in consideration of the above-stated desires of the parties and such other mutual promises and covenants as are set forth below, LESSOR and LESSEE agree as follows: 1.Premises. During the initial Term of this Lease, as defined in Section 2 below, LESSOR shall lease to LESSEE and LESSEE shall lease from LESSOR approximately 2.18 acres of property known as the Bunnlevel Ruritan Club located at 110 Candle Bush Lane, Bunnlevel, North Carolina 28323 and 138 Candle Bush Lane, Bunnlevel, North Carolina 28323 (hereinafter referred to as the “Premises”). The Premises are leased solely for LESSEE’s Parks and Recreation Department for the development of a County park. In no event does LESSOR grant any interest in any property for which LESSOR is not the record owner. Furthermore, LESSEE shall have access to the parking lots located on said property. LESSEE understands that the parking lot is a shared lot with LESSOR and citizens availing themselves of Ruritan Club programming. LESSEE further understands that the parking spaces in the parking lot are not reserved for LESSEE’s operations and that LESSOR cannot guarantee sufficient parking for LESSEE’s operations. 2.Term. The term of this Lease (the “Term") shall commence upon execution of this Lease by both parties (“Commencement Date”) and shall terminate on July 1, 2056. Upon the mutual written consent of both parties, this Lease may be renewed for additional five-year terms upon the same terms and conditions. 3.Rent. The rent for the Term of the Lease shall be $1.00 per year. LESSEE shall pay to LESSOR at such place as LESSOR shall designate in writing. Upon the termination of this Lease, title to all improvements to the Premises, except for LESSEE’s personal property, shall be automatically transferred to LESSOR. LESSOR and LESSEE agree that LESSEE shall not be entitled to any compensation or reimbursement from LESSOR for any repairs, maintenance, construction costs, or any other expenses LESSEE incurs as a result of LESSEE’s use or lease of the Premises. 4.Title and Quiet Possession. LESSOR represents and covenants that LESSOR owns the Premises in fee simple except as set out in matters of record. LESSEE assumes the burden of conducting a title search or other investigation to its satisfaction. LESSOR represents and warrants to LESSEE HCBOC 071426 Pg.66 that LESSOR has the full right to make this Lease and that LESSEE shall have quiet and peaceful possession of the Premises throughout the term of this Lease. 5. Title Insurance. LESSEE, at LESSEE’s option and expense, may obtain title insurance on the Premises. 6. No Waste or Nuisance. During the term of this Lease, LESSEE shall comply with all applicable Laws affecting the Premises, the breach of which might result in any penalty on LESSOR or forfeiture LESSOR’s title to the Premises. LESSEE shall obtain any necessary governmental licenses or authorization required for the provision of LESSEE's activities. LESSOR shall reasonably cooperate with LESSEE's efforts to obtain necessary licenses and authorizations. 7. Assignment and Subleasing. LESSEE may not sublet the Premises in whole or in part without LESSOR'S consent, and the making of any such sublease shall not release LESSEE from, or otherwise affect in any manner, any of LESSEE’s obligations hereunder. Notwithstanding the foregoing, LESSEE may rent shelters located on the property to park patrons on an hourly basis. LESSEE shall not assign or transfer this Lease, or any interest herein, without the prior written consent of LESSOR. Consent to an assignment shall not be deemed to be a consent to any subsequent assignment. In the event LESSOR should transfer its interest in the Premises, LESSOR shall have no further duties or obligations hereunder provided that the transferee agrees to assume all of the duties and obligations imposed hereunder on LESSOR and upon such third party's assignment not to amend, modify, or change in any manner whatsoever LESSEE's rights and obligations hereunder. Upon such a transfer, LESSEE shall, for all purposes expressed herein and incidental hereto, accept such transferee as its LESSOR hereunder. LESSOR may assign any or all rights, duties, and obligations created hereunder without the consent of LESSEE, provided such third party agrees not to amend, modify, or change in any manner whatsoever LESSEE's rights and obligations hereunder and assumes without modification LESSOR's rights and obligations hereunder. In all other circumstances, LESSOR shall first have obtained the written consent of LESSEE, which consent shall not be unreasonably withheld. 8. Scheduling. LESSEE will oversee the scheduling of all events and activities on the Premises, including rental of shelters, if any. LESSOR and LESSEE agree that LESSOR shall have first priority of use for civic purposes at all times on the Premises. Representatives of both parties shall work together in good faith to prepare a master schedule for joint use of the facilities on the Premises at an appropriate time. LESSOR must give LESSEE reasonable notice of any new events not included in the master schedule. In the event notice is provided for an event not included in the master schedule and a conflict exists with a third-party booking, then the third-party booking will be honored. 9. Notices. Any notice, report, statement, approval, consent, designation, demand, or request to be given, and any election to be exercised by a party under the provisions of this Lease shall be deemed to be given and received three days when made in writing and sent by United States certified or registered mail, postage prepaid, to the other party at the applicable address set forth below: LESSOR: Bunnlevel Ruritan Club PO Box 121 Bunnlevel, North Carolina 28323 HCBOC 071426 Pg.67 LESSEE: County of Harnett County Manager Post Office Box 759 Lillington, North Carolina 27546 With copy to: Senior Staff Attorney Post Office Box 238 Lillington, North Carolina 27546 10. Condition of Premises. LESSEE acknowledges that LESSOR does not warrant that the Premises will be in a condition that would be safe for the provision of any of LESSEE’s operations or activities. LESSEE shall be solely responsible for maintaining the Premises in a safe and secure condition at all times that LESSEE occupies the Premises. LESSEE shall indemnify, hold harmless, and release LESSOR from any and all claims related to the condition and suitability of the Premises for LESSEE's use. 11. Maintenance of the Premises. LESSEE shall be responsible for the general maintenance of the Premises including, but not limited to, the grounds, parking areas, park amenities, sidewalks, and other amenities and structures constructed by LESSEE. LESSEE shall be responsible for the janitorial duties of the Premises and any shared space utilized by LESSEE. LESSEE shall also be responsible for any maintenance of LESSEE installed improvements, fixtures, and equipment. LESSEE shall not be responsible for LESSOR’S existing buildings on the premises that are not shared spaces. 12. LESSEE Damage. LESSEE shall be responsible for the costs to replace or repair any damage caused to the Premises, all shared space, or grounds by the negligence or willful misconduct of LESSEE, its agents, employees, volunteers, members, and invitees. LESSEE shall reimburse LESSOR for the costs to replace or repair any such damage within 30 days upon written demand by LESSOR. 13. LESSEE Improvements. LESSEE shall have the right, at its sole expense, to make such improvements on the Premises as it may deem necessary, including any improvements necessary for LESSEE's operations or programs, with the prior written approval of LESSOR. LESSOR's approval shall not be unreasonably withheld. LESSEE shall be solely responsible for the cost of any required work. However, LESSEE shall not destroy, remove, or make any improvements or changes to the Premises which would adversely impact the market value of the Premises or LESSOR’s ability to use the Premises upon the termination of this Lease without the prior written permission of the LESSOR. Upon termination, LESSEE improvements shall become the property of LESSOR unless LESSOR requests the removal of such improvements. During the term of this Lease, LESSEE shall maintain the Premises in a safe, clean, and neat condition. Upon termination of this Lease, LESSOR shall take possession and ownership of all improvements to the Premises, except for LESSEE’s personal property. LESSOR may inspect any installation or other work performed on the Premises. To the extent that any repairs or changes are occasioned by (a) the acts of LESSEE, its agents, servants, employees, contractors, or invitees; (b) a defect or malfunction in LESSEE's materials, equipment, or any attachments thereto; (c) a safety hazard, or violation of any applicable statute, rule, regulation, order, directive, or standard relating thereto, in or caused by LESSEE's property; HCBOC 071426 Pg.68 (d) any changes or improvements to the Premises requested or made by LESSEE; or (e) any violation or breach of any provision of this Lease by LESSEE or anyone acting under it; then LESSOR may make any required repairs at the expense of LESSEE. LESSEE shall reimburse LESSOR within 30 days upon written demand for any such expenses incurred by LESSOR. 14. Operating Expense. LESSEE shall be responsible for arranging for the installation and operation of internet service, phone service, security systems, and other such services required for the use of the Premises by LESSEE and shall pay directly to the supplier thereof all charges, fees, or assessments for installation, connection, operation, and use of such services. All such installation shall receive the written approval of LESSOR, which shall not be unreasonably withheld, and LESSEE shall notify and coordinate with LESSOR prior to installation of any cables, fiber, phone lines, cameras, servers, and any other equipment. If LESSEE installs any security equipment in the Premises, LESSEE shall provide LESSOR with access codes and/or provide for immediate entry to the Premises to enable LESSOR to make any emergency repairs to protect the Premises from damage or destruction. LESSEE shall fully and promptly pay for all services furnished to the Premises and used by LESSEE throughout the term of this Lease, and all other costs and expenses of every kind whatsoever in connection with the use, operation, and maintenance of the Premises and all activities conducted thereon. 15. Utilities. LESSOR shall be responsible for the costs of electricity, gas, sewer, water, and for the premises. 16. Trash Collection. LESSEE shall provide trash receptacles for park users. LESSEE shall be responsible for removal of all trash from leased Premises to County landfill. LESSOR shall be responsible for removal of all trash associated with LESSOR programs or events on the premises. 17. Signage. LESSEE is permitted to place or display public park entrance and rules signage. All signs shall be in compliance with any applicable laws, ordinances, and codes. LESSEE shall receive the written approval of LESSOR as to the size and location of any such signage, which consent shall not be unreasonably withheld. LESSEE is responsible for removing all signs and displays upon termination of this Lease. Any damage that results from the placement or removal of signage shall be repaired in a workman like manner at the expense of LESSEE. 18. Government Compliance. LESSEE shall conduct its operations in compliance with all governmental laws and regulations, including all applicable local, state and federal rules and regulations. 19. Indemnity. LESSEE shall indemnify and hold LESSOR harmless from and against any and all losses, liabilities, claims, lawsuits, judgments, and demands whatsoever (including reimbursement of reasonable legal fees and costs) which may arise out of or be caused by any act or omission or intentional wrongdoing of LESSEE or its agents, employees, invitees, or contractors, or which may arise out of or be caused by the storage of materials and/or equipment, use of the Premises, construction or renovation activities, maintenance, repair, storage of materials and/or equipment, or use of the Premises. LESSOR shall not be responsible for any damage or injury to LESSEE’s property, business, agents, employees, or invitees regardless of the cause of the damage unless the cause of such damage or injury is the result of LESSOR’s negligence or willful misconduct. 20. Insurance. LESSEE shall obtain and maintain in effect during the term of this Lease, a policy or policies of property and liability insurance in sufficient amounts to cover the costs of theft, damage, HCBOC 071426 Pg.69 or destruction to LESSEE owned contents and injuries, including death, sustained by any individual while on the Premises. LESSOR shall maintain building and liability coverage on their buildings. 21. Events of Default, Termination. If LESSEE vacates or abandons the Premises or fails to perform any other act or obligation as set forth in this Lease and for a period of thirty (30) days following notice from LESSOR of such default fails to cure or commence appropriate action to cure such default, LESSOR may terminate this Lease. LESSOR may also terminate this Lease if state, federal, or local agency establishes any condition(s) for occupancy of the Premises which LESSEE fails or refuses to perform. No such termination of this Lease shall relieve LESSEE of its indemnification obligations and any previously accrued liability and obligations under this Lease and all such liability and obligations shall survive any such termination. a. Upon termination or expiration of this Lease, LESSEE will surrender the Premises to LESSOR in as good condition as existed at the commencement of the Lease except for reasonable wear and tear and in accordance with the terms of this Lease, or for damage due to causes beyond LESSEE'S control and without its fault or negligence, or for damage, howsoever caused, to the extent LESSOR shall have been compensated for such damage by insurance. b. Upon any termination or expiration of this Lease, LESSEE shall promptly remove its materials and equipment from the Premises without damage to the property of LESSOR in accordance with the terms of this Lease. During the period of removal of its materials and equipment, LESSEE'S right and obligations with respect to access to the Premises shall be the same as those during the period that this Lease is in effect, and until the completion of the removal of all such materials and equipment. c. If any personal property owned by LESSEE shall not have been removed from the Premises within thirty (30) days following the termination or expiration of this Lease, LESSOR shall have the right to sell the property in accordance with the North Carolina General Statutes. d. LESSOR's failure to enforce or insist upon compliance with any of the terms or conditions of this Lease shall not constitute a waiver or relinquishment by LESSOR of any of such terms or conditions. No declaration of default by LESSOR under any provision of this Lease shall be deemed to impair or diminish LESSOR's rights against LESSEE for any breach of this Lease. e. LESSEE may terminate this Lease upon 30 days written notice to LESSOR. 22. Force Majeure. If LESSEE or LESSOR is delayed or prevented from performing any of their respective non-monetary obligations under this Lease, and such delay is by reason of strike, lockout, labor troubles, material shortages, adjustment of any insurance claim, failure of power, riots, civil commotion, insurrection, war (whether declared or undeclared), warlike operations, acts of terrorism, cyber-attacks, acts of public enemy, acts of bioterrorism, plagues, epidemics, pandemics, outbreak of a communicable disease leading to extraordinary restrictions including quarantine or movement of people or goods, invasion, rebellion, hostilities, military or usurped power, sabotage, government action, rain and other inclement weather, acts of God, power outages, inability to obtain any material, utility, or service because of governmental restrictions, inability to obtain building permits, hurricanes, floods, earthquakes, tornadoes, or other natural disasters, accident, emergency, mechanical breakdown, municipal delays (including delays in reviewing materials submitted by a party or issuing permits or approvals following such submittals), the act or failure to act of the other party, the default under this Lease by the other party, governmental preemption in connection with a national emergency, any rule, order or regulation of any department or subdivision of any government agency, or any other cause reasonably beyond such party’s control (where lack of funds, inability to obtain financing, and/or changes in economic condition shall not be a basis for delay or prevention of any obligation under this Lease) (any such event, a “Force Majeure”), then performance of such act shall be excused for the period of the delay or prevention, and the period of HCBOC 071426 Pg.70 such delay or prevention shall be deemed added to the time period herein provided for the performance of any such obligation by the party so delayed or prevented, provided that this subsection will not excuse or delay the payment of money by either party. 23. Condemnation. If the whole of the Premises, or such portion thereof as will make the Premises unusable for the purposes herein leased, is condemned by any legally constituted public authority, then this Lease, and the term hereby granted, shall cease from the time when possession thereof is taken by the public authority. Any lesser condemnation shall in no way affect the respective rights and obligations of LESSOR and LESSEE hereunder. However, nothing in this paragraph shall be construed to limit or adversely affect LESSEE's right to an award of compensation from any condemnation proceeding for the taking of LESSEE's leasehold interest hereunder or for the taking of LESSEE's improvements, fixtures, equipment, and personal property. The provisions of this Lease governing LESSEE improvements and their removal shall be applicable should termination occur due to condemnation. 24. Binding on Successors. The covenants and conditions contained herein shall apply to and bind the heirs, successors, executors, administrators, and assigns of the parties hereto. 25. Access to Premises. LESSEE and its officers, employees, agents, contractors and invitees shall have full access 24 hours per day, seven (7) days per week to the Premises during the term of this Lease. 26. Governing Law and Venue. This Lease shall be governed and construed in accordance with the laws of the State of North Carolina. Any action or proceeding arising under this Lease shall be filed and heard in the Superior Court of Harnett County. 27. Entire Agreement. This Lease reflects the entire agreement between LESSOR and LESSEE with respect to the Premises, and cannot be amended except by written instrument subsequently executed by the parties hereto. 28. No Waiver. In the event that either party fails to enforce any obligation of the other party under this Lease when performance is due, such delay or failure to enforce shall not constitute a waiver of its right to seek full performance at any future time. 29. Mechanic’s Liens. LESSEE will not cause any mechanic's or materialman's lien to be placed on the Premises, and LESSEE agrees to indemnify, defend, and hold harmless LESSOR from any such lien from a party claiming by, through or under LESSEE. If any such claim of lien is placed on the Premises, LESSEE shall, within 30 days thereafter regardless of whether or not it contests the validity of the claim upon which such lien is based, post such bonds or take such other steps as may be necessary to remove such lien. 30. Headings. The headings of sections and subsections are for convenient reference only and shall not be deemed to limit, construe, affect, modify, or alter the meaning of such sections or subsections. 31. Severability. Any provision of this Lease that is legally invalid, void, or unenforceable shall in no way affect, impair, or invalidate any other provision hereof, and the other provisions shall remain in full force and effect. 32. Preambles. The preambles to this Lease are incorporated herein by reference the same as if fully set forth herein. HCBOC 071426 Pg.71 IN WITNESS WHEREOF, LESSOR and LESSEE have hereunto set their hands and seal on this Lease Agreement the day and year first above written. LESSEE: COUNTY OF HARNETT _____________________________________ Duncan E. Jaggers, Chairman Board of Commissioners LESSOR: BUNNLEVEL RURITAN CLUB ___________________________________ Norma Byrd, President HCBOC 071426 Pg.72 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\9D.1 CCagendaform_Highland School Rd contract.docx Page 1 of 2 Board Meeting Agenda Item MEETING DATE: July 14, 2026 TO: HARNETT COUNTY BOARD OF COMMISSIONERS SUBJECT: NCDOT contract for design and construction of Highland School Rd extension REQUESTED BY: Jay Sikes, Development Services REQUEST: This is a request to approve a contract between Harnett County and NC Department of Transportation. This will allow NCDOT to design and construct the extension of Highland School Rd. This approximately one mile extension will create a full connecting route between Buffalo Lake Rd and Tingen Rd. The total approximate cost is $3,478,750; 20% funded by Harnett County equalling $695,750. FINANCE OFFICER’S RECOMMENDATION: COUNTY MANAGER’S RECOMMENDATION: Item 9D HCBOC 071426 Pg.73 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\9D.1 CCagendaform_Highland School Rd contract.docx Page 2 of 2 HCBOC 071426 Pg.74 Highland School Rd extension Existing Highland School Rd is the on ly access to two schools. In approximately three years, a high school will be built in this area and also accessed by this current dead -end road. This project will extend Highland School Rd, creating a full connecting route between Buffalo Lake Rd and Tingen Rd. Two primary benefits will be to significantly enhance the connectivity in the area, connecting several residential developments, and thus reduce current and future congestion by creating a well-planned corridor. HCBOC 071426 Pg.75 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\9E.1 NC Center for the book grant agenda form.docx Page 1 of 2 Board Meeting Agenda Item MEETING DATE: July 14, 2026 TO: HARNETT COUNTY BOARD OF COMMISSIONERS SUBJECT: Request to apply for North Carolina Center for the Book at North Carolina Humanities Great Read from Great Places grant. REQUESTED BY: Kimberly VanBeck, Library Director REQUEST: Harnett County Public Library respectfully requests permission to apply for and accept if awarded the North Carolina Center for the Book Great Reads from Great Places grant. This grant would provide 20 copies of Blue's March: An Overmountain Men Tale, bookmarks, and reading comprehension educational materials to be used in library youth programming. There is no match required. FINANCE OFFICER’S RECOMMENDATION: COUNTY MANAGER’S RECOMMENDATION: Item 9E HCBOC 071426 Pg.76 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\9E.1 NC Center for the book grant agenda form.docx Page 2 of 2 HCBOC 071426 Pg.77 Megan Horkavy Harnett County Public Library-Main Library Printed On: 6 July 2026 2026 Great Reads 1 Harnett County Public Library 2026 Great Reads Harnett County Public Library-Main Library Kimberly Van Beck 455 McKinney Parkway Lillington, NC 27546 O: 910-893-3446 Megan Horkavy 455 McKinney Parkway Lillington, NC 27546 mhorkavy@harnett.org HCBOC 071426 Pg.78 Megan Horkavy Harnett County Public Library-Main Library Printed On: 6 July 2026 2026 Great Reads 2 Application Form Great Reads from Great Places - Program Overview About the Program North Carolina Humanities annually selects a book for young readers written by a North Carolina author or that prominently portrays stories of the state to be featured in local programming and at the Library of Congress National Book Festival in Washington, D.C. NC Humanities is providing free book resources to organizations/groups to ensure broad access to Great Reads From Great Places. NC Humanities will identify selected communities through this application process. NC Humanities provide 20 book copies and cover shipping for selected communities. Selected communities will also receive reading comprehension materials, bookmarks, and more. Please complete and submit this form to apply. This form should take approximately 30 minutes to complete. •Please submit only one request form per group. If you are applying as part of a regional or county library system, a separate application must be submitted by EACH library/library branch. •If you would like to participate in Great Reads but are NOT requesting books, please do NOT complete this form. Eligibility: •Organizations/groups must be located in North Carolina to be eligible. •Persons completing this request form must be 18 years or older. •Organizations/groups must serve youth populations. o This year's Great Reads from Great Places young reader book is recommended for readers aged 8-12 (Grades 3-5). Disclaimers: •Books are available on a very limited basis and submission of an application does not guarantee approval. •Applications will be approved following a merit review. •NC Humanities will notify you via email regarding the status of your application. •By completing and submitting this form, you consent to receive emails from NC Humanities. •Incomplete applications and draft applications not submitted by the deadline will not be reviewed. To further literacy and conversations about North Carolina stories and experiences, all book copies and resources will be yours to keep. Instruction Certification* I have read and understand the program eligibility and disclaimers listed above. HCBOC 071426 Pg.79 Megan Horkavy Harnett County Public Library-Main Library Printed On: 6 July 2026 2026 Great Reads 3 Application Instructions Thank you for starting a Great Reads from Great Places book resource application! Below are a few tips that will help you navigate and complete your electronic application form. Please contact Melissa Giblin, Director of North Carolina Center for the Book, at mgiblin@nchumanities.org or (704) 360- 5515 if you have any issues. Application Sections 1. Program Overview 2. Group Information 3. Program Plans 4. Certification Technical Recommendations •You do not need to complete the application all in one sitting. The system will auto-save your application for every 100 characters typed or every time you click into a new question. •A user will be automatically logged out of the online system after 90 minutes of inactivity. •You may collapse the question groups as you go using the arrow next to the group name to reduce scrolling time •Remember to click "Submit Form" when you are finished. Once your application has been submitted it is no longer available for editing. If you need to make a correction to a submitted form, contact NC Humanities. o You must answer all required questions to be able to submit your application. About NC Humanities: Through public humanities programs and grantmaking, North Carolina Humanities connects North Carolinians with cultural experiences that spur dialogue, deepen human connections, and inspire community. NC Humanities is a statewide nonprofit and affiliate of the National Endowment for the Humanities. The North Carolina Center for the Book is a collection of NC Humanities’ literature and reading programs that celebrate the importance of books, reading, libraries, and North Carolina’s literary heritage to ignite a statewide community of readers through shared reading experiences and meaningful conversation. The North Carolina Center for the Book is the state affiliate of the National Center for the Book in the Library of Congress and is supported in part by the State Library of North Carolina. Any views, findings, conclusions, opinions, or recommendations expressed do not necessarily represent those of North Carolina Humanities or the National Endowment for the Humanities. To learn more, visit www.nchumanities.org Do you need to work with a team on this application? Use our 'Collaborate' feature! Please click here for a video tutorial of the Collaborate feature. The Collaborate button at the top of the page can be used to invite other people to work on this request with you. •From the Collaborate pop up, enter the email address of the person you wish to help you with the request. HCBOC 071426 Pg.80 Megan Horkavy Harnett County Public Library-Main Library Printed On: 6 July 2026 2026 Great Reads 4 •Set the Permission to either View (the collaborator can only view forms in the request), Edit (the collaborator can view and edit the request), or Submit (the collaborator can view, edit, and submit the request) •Include a message about what you are asking your collaborator to do for you and select Invite. •You can revoke permission at any time. An email will be sent to the collaborator containing your message, their username, and a link to the log-on page. Book Information 2026 Great Reads Young Reader Title: Blue's March An Overmountain Men Tale by Katelynn A. Hatton and illustrated by Gabhor Utomo By completing this form your group is applying for book copies of Blue's March: An Overmountain Men Tale. Blue's March is recommended for readers 8-12 years of age (Grade levels 3-5). Book summaries from publishers are available on NC Humanities' website. Group Information Group/Organization Name* Please enter the name of your group Harnett County Public Library Institution Type* Please select the institution type which best fits your organization from the drop-down list below. Public Library Organization Congressional District* Select the NC Congressional District for your organization (based on your organization's location) from the drop-down list below. Don't know your NC Congressional District? Look it up here. NC-13 Organization NC Senate District* Select your organization's NC Senate District (based on your organization's location) from the drop-down list below. Don't know your state Senate District? Look it up here. 12th HCBOC 071426 Pg.81 Megan Horkavy Harnett County Public Library-Main Library Printed On: 6 July 2026 2026 Great Reads 5 Organization NC House District* Select your organization's NC House District (based on your organization's location) from the drop-down list below. Don't know your NC House District? Look it up here. 53rd Organization Geography* Is your organization located in one of the following counties? Alamance, Buncombe, Cabarrus, Catawba, Cumberland, Davidson, Durham, Forsyth, Gaston, Guilford, Henderson, Iredell, Johnston, Lincoln, Mecklenburg, New Hanover, Onslow, Orange, Pitt, Rowan, Union, Wake Not located in listed counties (rural) Prior Participation* Has your organization previously received a Great Reads from Great Places book box(es)? Please select an answer from the drop-down list below. (Note, please answer from the perspective of the organization not as the proposal writer.) Don't Know School Designation* If your group is a K-12 school, please answer the following question. If your group is not a K-12 school, please select N/A. Is your school designated as a Title 1 school? N/A Proposed Counties Served by Project* Please select the North Carolina counties your project will impact. Harnett County Program Plans Primary Audience* Please select the anticipated primary audience this project will directly serve. Please note, on the final report, you will be expected to report on the actual audience(s) served by this program. K-12 Students HCBOC 071426 Pg.82 Megan Horkavy Harnett County Public Library-Main Library Printed On: 6 July 2026 2026 Great Reads 6 Book Support Assessment* Please explain how receiving book support would enable your group's participation in Great Reads from Great Places. Describe the organization's need for book resources. The support from Great Reads Great Places book resource will aid the Harnett County Public Library in reaching out to our local communities by providing 20 copies of the books and reading comprehension materials to go alongside the book. The book choice, Blue's March: An Overmountain Men Tale, will enable the library to distribute and highlight information relevant to America's 250th anniversary. This information will be educational, will support literacy specifically in ages 8-12 and will allow us as a library the chance to highlight a NC author and distribute copies of their work to the public to keep. By offering a program to discuss about the book and do activities together, the Harnett County Public Library will further our vision statement to "Inspire and empower our community to explore, discover, and connect." This resource will inspire connection through our in-person programming, exploration through the activities and reading of the book, and discovery through allowing the community to take these copies home with them. Proposed Program Goals* Please explain your reasons and interests in requesting book resources. What goals do you want to accomplish in your community by participating in Great Reads from Great Places? If you are applying as a K-12 educator, please explain how the book box will be utilized to meet curriculum standards and/or class assignment objectives. Our program goals are: •to connect our local community through programming offered around the book, Blue's March: An Overmountain Men Tale. •to inspire exploration into the history of the USA through reading and supporting activities. •to encourage the discovery of history and literature in the homes of 20 community members as they take the book copies to keep. •to highlight local NC authors and quality children's literature. Community Event* By participating in Great Reads from Great Places, your group agrees to distribute and read the books individually or as a group. Groups receiving books must plan and host an event in your community by 10/31/26 to further the impact of the program and create opportunities for readers to come together to talk and listen. Please indicate your program plans below, check all that apply. My group intends to distribute and read the books individually or communally. My group intends to host a virtual or in-person reading program, a book discussion, or other event. HCBOC 071426 Pg.83 Megan Horkavy Harnett County Public Library-Main Library Printed On: 6 July 2026 2026 Great Reads 7 Program Evaluation* Please explain how your group plans to collect participant feedback about Great Reads from Great Places. If your community is selected, NC Humanities will ask you for anecdotes, quotes, or stories of impact of the book on participants on the Final Report. Before the program we will post on social media sites about the program and encourage participation. During the program we will talk with the participants to see how they feel about the program and the books/materials we are giving out. We will collect any anecdotes and stories from patrons. After the program/distribution of books, the Youth Service Team will submit a program report detailing number of attendees, date of program, name of program, age range of program, staff involved, program notes with anecdotes and stories of impact. Certifications Applicant Age Certification* I certify that as the individual requesting this book box, I am 18 years of age or older. I agree with the statement above. Reader Age Certification* I certify that I have read the book description and that the book will be distributed to readers in the recommended age range and/or reading level for this book (8-12 years old). I agree with the statement above Book Distribution* I agree that my group will distribute and read the books provided participants in my community. I agree with the statement above. Final Report* To help NC Humanities measure the impact of this program in North Carolina, I agree that an individual from my group/organization will complete a short, Great Reads from Great Places final report. The final report will ask about the numbers of participants that attended each event, the cash and/or volunteer time contributed by your organization, and the overall impact of the book box(es) in your community. The report will also ask for quotes/anecdotes/stories/pictures/etc. which demonstrate the impact made by these books in your community. I agree with the statement above. Acknowledgement of NC Humanities* I agree that if my organization/group hosts a associated event, I will credit NC Humanities and include NC Humanities' logo and the following statement: "This [program/book event/discussion] was supported by North Carolina Humanities, an affiliate of the National Endowment for the Humanities, www.nchumanities.org." HCBOC 071426 Pg.84 Megan Horkavy Harnett County Public Library-Main Library Printed On: 6 July 2026 2026 Great Reads 8 Logos can be downloaded on NC Humanities' website at www.nchumanities.org I agree with the statement above. Email Permission By submitting this request I grant NC Humanities the right to send me general print and email communication about NC Humanities opportunities in addition to communication about this proposal. Note: if you choose to opt out by selecting the option below you will still receive direct communications about your proposal. Certification* I certify to the best of my knowledge and belief that the information provided herein is true, complete, and accurate. I am aware that the provision of false, fictitious, or fraudulent information, or the omission of any material fact, may subject me to criminal, civil, or administrative consequences including, but not limited to violations of U.S. Code Title 18, Sections 2, 1001, 1343 and Title 31, Sections 3729-3730 and 3801-3812. I agree with the statement above. Thank you for completing this proposal! Please click the blue "Submit" button to submit your proposal. Once submitted, your proposal you will receive a submission confirmation email. This automated email comes from administrator@grantinterface.com. If you do not receive the confirmation email, please check your junk folder and add administrator@grantinterface.com to your safe sender list to ensure that you do not miss important communications about your submission. HCBOC 071426 Pg.85 Megan Horkavy Harnett County Public Library-Main Library Printed On: 6 July 2026 2026 Great Reads 9 File Attachment Summary Applicant File Uploads No files were uploaded HCBOC 071426 Pg.86 JULY 14, 2026 APPOINTMENTS NEEDED HISTORIC PRESERVATION AND HERITAGE TOURISM COMMISSION There is one (1) At Large vacancy on this Commission. We have received an application from Steve Koontz. He would like to be considered for the At Large vacancy. We have received an application from Melanie Collins. She would like to be considered for reappointment of the At Large vacancy. Item 9F HCBOC 071426 Pg.87 From:2023 Harnett County (Board of Commissioners) To:webboards Subject:Application to Serve on a Board Date:Tuesday, June 23, 2026 7:42:41 PM Board:Historic Properties Commission Voting District: District 4 Name:Melanie Collins Address:730 Collins Rd City:Lillington Zip Code: 27546 Telephone: Email:melaniecollins@embarqmail.com Years of Formal Education:Masters degree library science Civic and fraternal organizations: Harnett Historical society; Friends of the Harnett county public library; other clubs over the years. Why you would like to serve: Interest in preserving local history as well as architectural preservation. Harnett has a rich history and we need to make sure to share it with all of our new friends. Electronic Signature:Melanie Collins Agreement: I understand that checking this box constitutes a legal signature confirming that I acknowledge and agree to the above Terms of Acceptance. Submitter: 71.217.169.208 HCBOC 071426 Pg.88 From:2023 Harnett County (Board of Commissioners) To:webboards Subject:Application to Serve on a Board Date:Wednesday, June 24, 2026 11:52:28 PM Board:Historic Properties Commission Voting District: District 4 Name:Steve Koontz Address:172 Dewar St City:Fuquay Varina Zip Code: 27526 Telephone: Email:skoontz76@aol.com Years of Formal Education:12 Civic and fraternal organizations: Founder of the Harnett County Volunteer Cemetery Preservation Group. Board member of Harnett County Genealogical Society and a regular member of the Historical Society. Why you would like to serve: I would like to serve on the Historic Property Commission, to offer my experience, knowledge and love for our countyâ?Ts history. Iâ? Tm the founder of the Harnett County Volunteer Cemetery Preservation Group. Iâ?Tm also a board member of the Harnett County Genealogical Society and a regular member of the Historical Society. I have previously worked in residential maintenance and property preservation. Iâ?Tm also a former Real Estate Agent in Harnett County. I believe I would be a great asset to the board with the combination of these skills and my desire to see local history be a benefit to the residents of the county. Electronic Signature:Steve Koontz Agreement: I understand that checking this box constitutes a legal signature confirming that I acknowledge and agree to the above Terms of Acceptance. Submitter: 158.120.77.19 HCBOC 071426 Pg.89 Item 10D HCBOC 071426 Pg.90 HCBOC 071426 Pg.91 HCBOC 071426 Pg.92 HCBOC 071426 Pg.93 HCBOC 071426 Pg.94 HCBOC 071426 Pg.95 HCBOC 071426 Pg.96 \\lecshare\department\Admin\Clerk to the Board docs\AGENDAS\2026\071426\10Fi.1 agendaform2026 BCBS Contract.docx Page 1 of 1 Board Meeting Agenda Item MEETING DATE: July 14, 2026 TO: HARNETT COUNTY BOARD OF COMMISSIONERS SUBJECT: BCBS Contract REQUESTED BY: Human Resources REQUEST: This is a formal request for the Board to approve the BCBSNC FY 27 contract. A copy of the contract is included for your review. Please place this item under the County Manager Reports of the agenda at the next available meeting. Payment of Claims (Retirees): $1,000,000 Payment of Claims: $16,228,000.00 Contracted Services: $460,000 Medical Insurance: $2,000,000.00 Stop Loss (Revenue): $2,000,000.00 FINANCE OFFICER’S RECOMMENDATION: COUNTY MANAGER’S RECOMMENDATION: HCBOC 071426 Pg.97 HCBOC 071426 Pg.98 1 To: County of Harnett From: Blue Cross and Blue Shield of North Carolina (Blue Cross NC) Re: Administrative Services Agreement (ASA) Contract Changes – 2026 Date: July 1, 2026 Attached is the 2026 renewal amendment for your Administrative Services Agreement (ASA) with Blue Cross NC. Below is a brief overview of the changes Blue Cross NC is proposing to the ASA for this Agreement Period. 1.Amendment re: Notices. This provision will be updated at each renewal to ensure we have the most current contact information. 2.Administrative Fees Exhibit. The new exhibit reflects the current renewal rates as well as any other changes to this exhibit. 3.Pharmacy Program Exhibit. The Pharmacy Program exhibit has been updated to reflect current terms. If you have any questions concerning the amendments listed above or to the content in the amendment, please contact your Blue Cross NC Strategic Client Consultant or Blue Cross NC ASO Contract Management via paige.mckinstry@bcbsnc.com for assistance. Thank you. HCBOC 071426 Pg.99 1 AMENDMENT TO ADMINISTRATIVE SERVICES AGREEMENT This AMENDMENT TO ADMINISTRATIVE SERVICES AGREEMENT (“Amendment”) is made and entered July 1, 2026, by and between County of Harnett (“Plan Sponsor”), County of Harnett Group Health Plan (“Group Health Plan”) and County of Harnett (“Plan Administrator”) and Blue Cross NC (each, a “Party” and collectively, the “Parties”). W I T N E S S E T H: WHEREAS, the Parties previously entered into an Administrative Services Agreement (the “Agreement”) pursuant to which Blue Cross NC provides certain services with respect to administration of the Group Health Plan; WHEREAS, the Parties desire to amend the Agreement regarding certain matters as provided for herein; NOW THEREFORE, in consideration of the mutual promises and covenants made herein, and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties do hereby agree to amend and renew the Agreement effective July 1, 2026 as follows: 1.The section of Article 18 (General Provisions) titled “Notices” is deleted in its entirety and replaced with the following: Notices. Any notices required to be given pursuant to the terms and provisions of this Agreement, or any Business Associate Agreement herein incorporated by reference, shall be in writing, postage prepaid, and shall be sent by first class mail or electronic mail to the Parties at the addresses below. The notices shall be effective on the date indicated on the return receipt or, if emailed, on the date the email is sent. To: Blue Cross and Blue Shield of North Carolina Post Office Box 2291 Durham, North Carolina 27702 Attention: Vice President, Group Segment To: Plan Sponsor County of Harnett PO Box 778 455 McKinney Parkway Lillington, NC 27546 Attention: County Manager Contact Email: btrout@harnett.org HCBOC 071426 Pg.100 2 To: Group Health Plan or Plan Administrator County of Harnett PO Box 778 455 McKinney Parkway Lillington, NC 27546 Attention: Director, Human Resources & Risk Mgmt Contact Email: jlane@harnett.org 2.Exhibit G (Pharmacy Program) is updated by replacing all references to “Stealth Partner Group, an Amwins Company” with “Alpine Partners, LLC” 3.Exhibit G- Schedule A (Pharmacy Program Pricing) is deleted in its entirety, and replaced with the attached revised Exhibit G- Schedule A (Pharmacy Program Pricing). [EXECUTION PAGE FOLLOWS] HCBOC 071426 Pg.101 3 IN WITNESS WHEREOF, the Group Health Plan, Blue Cross NC, the Plan Sponsor and the Plan Administrator have caused their duly authorized representatives to execute this Amendment to be effective as of the date first above written. Signed For: Plan Sponsor By: Signature of Authorized Official Name: Title: Date: _____________________ Signed For: Plan Administrator and the Group Health Plan By: Signature of Authorized Official Name: Title: Date: _____________________ Signed For: BLUE CROSS AND BLUE SHIELD OF NORTH CAROLINA By: Signature of Authorized Official Name: Tunde Sotunde, MD Title: President & Chief Executive Officer Date: __________________ July 2, 2026 HCBOC 071426 Pg.102 A-1 EXHIBIT A ADMINISTRATIVE FEES In accordance with the specific rate information contained in the medical rate page(s) and, if applicable the dental rate page(s), herein incorporated by reference, and Article 10 of the Agreement, the Plan Sponsor shall pay or cause to be paid to Blue Cross NC fees for administrative services provided to the Group Health Plan during the term of this Agreement as follows: A.MONTHLY ADMINISTRATIVE CHARGE 1.Medical Benefits For the Agreement Period, the monthly Administrative Fee will be: $ 39.90 per health contract per month. The above monthly Administrative Fee includes: •Charges for services related to claims and appeals processing services as described in the Agreement. •The administrative expense allowances associated with Inter-Plan Programs as described in Exhibit E. •The cost of the following additional programs or services provided by Blue Cross NC to the Group Health Plan: Claims Fiduciary Services B.INTER-PLAN ACCESS FEES Access fees related to the BlueCard Program, as described in Exhibit E (Inter-Plan Programs Arrangement), are processed in the following manner: •Access fees are billed to the Plan Sponsor, Plan Administrator, and/or Group Health Plan separately. The calculation to determine these fees is described in Exhibit E, and shall not exceed $2,000 per claim. C.RUN-OUT SERVICES ADMINISTRATIVE FEES In accordance with the Run-Out Services provision in Article 17 of the Agreement, Plan Sponsor shall pay or cause to be paid to Blue Cross NC Administrative Fees for run-out services following the termination of this Agreement as follows: Blue Cross NC shall continue for a period of 12 months to administer all claims that were incurred prior to the effective date of the termination in accordance with the Run -Out HCBOC 071426 Pg.103 A-2 Services provision in Article 17. Blue Cross NC shall charge a claim processing fee for this twelve month run-out period equal to the sum of the last three (3) months of the Monthly Administrative Charge prior to the termination of this Agreement. Fifty percent (50%) of the claim processing fee shall be due upon the termination of the Agreement, and the remaining fifty percent (50%) shall be due half-way through the period during which the run-out services are being provided. In addition, the Security Amount that Plan Sponsor is required to maintain shall be refunded after three months of the run-out period provided there have been no delinquency in the funding of the Claims Expense. Except as specifically stated herein, Plan Sponsor shall pay Blue Cross NC for run-out services according to the method of payment described in Exhibit C. D.ADDITIONAL ADMINISTRATIVE SERVICES For the Agreement Period, the Administrative Fees for Additional Administrative Services will be as follows: (1)Custom Reporting and Data Integration. In addition to standard reporting included as part of plan administration, Plan Administrator may request custom reporting or data integration. There will be additional fees for these services. See Exhibit D for details. (2)External Review. The External Review Process provision, referenced in Article 7, provides a selection of services related to adverse benefit determinations. Current fees and expenses for those services are listed on the External Review Process Price List which is incorporated by reference and available upon request. (3)Routine Vision Care. If the Plan elects to utilize Blue Cross NC routine vision care services, a network access fee will be billed in addition to the allowed amount. This network access fee related to routine eye care services shall be no more than 27% of the vision claim’s allowed amount. This network access fee will be billed to the Plan Sponsor, Plan Administrator and/or Group Health Plan separately from the routine vision care medical expense, but will be included in the monthly Statement of Account. (4)Pharmacy Utilization Management Blue Cross NC agrees to perform Drug Utilization Review services as described in Exhibit G (Pharmacy Program) as well as Drug Utilization Review services for prescription drug claims covered under the medical benefit. This includes review for benefit denials. The Fee for these services will be forty-five dollars ($45.00) per review. HCBOC 071426 Pg.104 Group_Name Effective_Date 7/1/2026 Mbr_Lives 1,454 EE_Lives 964 CUSTOM PASSTHROUGH PRICING CUSTOM PASSTHROUGH PRICING PT_Network BRAND DISCOUNTS Retail Network Retail Network PT_R_B_Disc_17/1/2026 to 6/30/2027 19.00% PT_R_B_Disc_2 PT_R_B_Disc_37/1/2026 to 6/30/2027 24.60% Exclusive Mail PT_ESN_B_Disc_17/1/2026 to 6/30/2027 24.60% PT_ESN_B_Disc_2 PT_ESN_B_Disc_3 7/1/2026 to 6/30/2027 84.20% PT_M_B_Disc_1 PT_M_B_Disc_27/1/2026 to 6/30/2027 88.15% PT_M_B_Disc_3 7/1/2026 to 6/30/2027 87.45% PT_R_G_Disc_1 PT_R_G_Disc_27/1/2026 to 6/30/2027 $0.45 PT_R_G_Disc_3 7/1/2026 to 6/30/2027 $0.45 PT_ESN_G_Disc_1 PT_ESN_G_Disc_27/1/2026 to 6/30/2027 $0.00 PT_ESN_G_Disc_3 PT_M_G_Disc_17/1/2026 to 6/30/2027 $0.45 PT_M_G_Disc_2 PT_M_G_Disc_37/1/2026 to 6/30/2027 $0.45 7/1/2026 to 6/30/2027 $0.00 PT_R_B_DF_1 PT_R_B_DF_2 PT_R_B_DF_37/1/2026 to 6/30/2027 21.00% PT_ESN_B_DF_17/1/2026 to 6/30/2027 $0.00 PT_ESN_B_DF_2 PT_ESN_B_DF_3Notes: - Discounts are based on the actual NDC-11 dispensed on the fill date. PT_M_B_DF_1 - Guarantees are based upon the above selected Blue Cross NC Network. PT_M_B_DF_2 - Guarantees are based upon an implemented Blue Cross NC Extended Supply Network (90-day retail). If not implemented, Retail rates apply. PT_M_B_DF_3 - Discount and dispensing fee rates exclude compound, long term care (LTC) pharmacy, home infusion (HI) pharmacy, veterans affairs (VA) pharmacy, Indian/tribal/urban (I/T/U) pharmacy, U.S. territory (TER) pharmacy, 340B, Medicare/Medicaid, out-of-network, member-submitted (e.g. DMRs), coordination of benefits (COB), subrogation, invalid, usual and customary (U&C) claims and non-specialty discount and dispensing fees also exclude specialty (as PT_R_G_DF_1 defined by the Blue Cross NC specialty drug management list) claims. PT_R_G_DF_2 - For discount purposes, Specialty is defined by the Blue Cross NC specialty drug management list. PT_R_G_DF_3 - Guarantees are based upon the Blue Cross NC specialty network. - Aggregate Specialty discount guarantees do not include limited distribution drugs (LDDs) nor any new specialty drugs brought to market and added to the PT_ESN_G_DF_1 specialty list during the term of each contract year. PT_ESN_G_DF_2 - For discount and dispensing fees, Brand drugs are defined as drugs that have a Medi-Span multisource code field equal to “M", “N", or “O". PT_ESN_G_DF_3 - For discount and dispensing fees, Generic drugs are defined as drugs that have a Medi-Span multisource code field equal to “Y”. - Unexpected generic launches and products launched at risk or under patent litigation are excluded from generic guarantees. PT_M_G_DF_1 - Guarantees are based upon the elected Home Delivery exclusive mail provider. PT_M_G_DF_2 PT_M_G_DF_3 PT_AggSpec_Disc_1 PT_AggSpec_Disc_2 PT_AggSpec_Disc_3 PT_SpecPharm_DF_1 PT_SpecPharm_DF_2 PT_SpecPharm_DF_3 Caveat_Header Broad Plus Harnett County Effective Date: Members: Employees: Contract Period Extended Supply Network (ESN) - 90 Day Channel Exclusive Mail GENERIC DISCOUNTS Retail Network Extended Supply Network (ESN) - 90 Day Channel Exclusive Mail BRAND DISPENSING FEES Retail Network Extended Supply Network (ESN) - 90 Day Channel Exclusive Mail Discount Specialty Pharmacy Dispensing Fee GENERIC DISPENSING FEES Retail Network Extended Supply Network (ESN) - 90 Day Channel Exclusive Mail AGGREGATE SPECIALTY EXHIBIT G- SCHEDULE A PHARMACY PROGRAM PRICING HCBOC 071426 Pg.105 Group_Name Harnett County Harnett County Effective_Date 7/1/2026 Mbr_Lives 1,454 EE_Lives 964 CUSTOM PASSTHROUGH PRICING PT_Formulary PT_Rebate_Basis REBATE PER BRAND Retail Network PT_R_Rebate17/1/2026 to 6/30/2027 $455.09 PT_R_Rebate2 Extended Supply Network (ESN) - 90 Day Channel PT_R_Rebate37/1/2026 to 6/30/2027 $1,026.45 Exclusive Mail PT_ESN_Rebate_17/1/2026 to 6/30/2027 $1,073.95 PT_ESN_Rebate_2 Specialty PT_ESN_Rebate_37/1/2026 to 6/30/2027 $7,367.18 PT_M_Rebate1Notes: PT_M_Rebate2 - For rebate purposes, Specialty is defined by the Blue Cross NC Specialty Rebate List. PT_M_Rebate3 - Compound, long term care (LTC) pharmacy, home infusion (HI) pharmacy, veterans affairs (VA) pharmacy, Indian/tribal/urban (I/T/U) pharmacy, U.S. territory (TER) pharmacy, 340b, Medicare/Medicaid, out of network, member-submitted (e.g. DMRs), coordination of benefits (COB), subrogation, invalid, PT_Spec_Rebate_1 vaccine, over-the-counter (OTC), zero balance due (100% member paid), biosimilar, and limited distribution drug (LDD) claims are excluded from rebate PT_Spec_Rebate_2 guarantees. PT_Spec_Rebate_3 - For rebate purposes, Brand drugs are defined as all drugs that have a Medi-Span multisource code field equal to “M”, “N”, or “O”. - Guaranteed rebates will be paid on all Eligible Prescription Drug Claims, claims paid in fulll or in part by the Plan Sponsor, incurred during the life of the contract. Caveat_Header - Pharmacy handling fees of $2.65 per retail and specialty script and $4.05 per mail script will be deducted from rebates at time of rebate settlement. - If pharmacy coverage is terminated prior to 06/30/2027, Harnett County will forfeit any unpaid rebates. NetResults: 07/01/2026 - 12/31/2026 ValuePath: 01/01/2027 - 06/30/2027 Effective Date: Members: Employees: Contract Period HCBOC 071426 Pg.106 Harnett County Effective Date:7/1/2026 Members:1,454 Employees:964 Additional Caveats: - For the purpose of reconciliation at contract year end, all guarantees are reconciled in aggregate, as long as the contract remains in effect. - Guarantees are based on adoption and adherence of an above Blue Cross NC formulary, including associated utilization management, recommended formulary strategies, and clinical programs. Blue Cross NC reserves the right to make an equitable modification to the pricing terms of the agreement for the following: changes in any law or regulation, changes in interpretation of a law or regulation, changes within PBM marketplace which lead to a significant deviation from the current economic environment, unexpected market events, unexpected generic launches, authorized generic launches, biosimilar products, products launched at risk, products under patent litigation, new lower cost NDCs priced net of rebates from the innovator, products with WAC decreases, biosimilar utilization or mix being materially different from underwriting assumptions, changes in drug indications, implementation of new clinical programs, removal of existing clinical programs, changes in pharmacy benefit plan design, specialty drug management list, limited distribution list, or formulary changes. - Blue Cross NC reserves the right to make an equitable adjustment for mix differences from pricing assumptions for formularies with high and/or low WAC biosimilar drugs. The adjustment will be applied to any guarantee-based payments during the contract year as a rebate credit for low WAC utilization, or to year end reconciliations for formularies with high WAC products. Guarantees will only be re-underwritten for selection of an exclusive biosimilar formulary (either high or low WAC exclusive). - Members will pay the lower of the contracted rate, U&C, or their applicable copayment. - Assumes client does not have 340B pricing. - Guarantees provided does not include savings from DUR or other clinical programs. - Specialty drugs dispensed through the medical benefit will not be included in reconciliation of guarantees. - Guarantees assumes 27% ESN penetration, if that differs significantly, Blue Cross NC reserves the right to revise guarantees terms and financials. - Guarantees assumes 1% Mail penetration, if that differs significantly, Blue Cross NC reserves the right to revise guarantees terms and financials. - Blue Cross NC reserves the right to equitably adjust the guarantees in the event the number of covered members or pharmacy claims volume changes by greater than 20% over the course of the contract. - Products with government mandated reimbursement, emergency use protocols, or related to Covid-19 (e.g testing, vaccines, and treatments) are excluded from guarantee reconciliation. - Mail guarantees only include claims from a mail vendor with 84 days of supply or greater. Claims from 1 to 83 days of supply from a mail vendor are included in the retail guarantees. - Discount guarantees are measured based on the Mark Browder line of business collective claims experience, and will be reconciled annually from July 1st through June 30th regardless of the plan renewal date. - Discount and dispensing fee guarantees are applied in aggregate. - For plans that have a different plan year, payouts for missed guarantees will be prorated based on the number of months impacted during the applicable year. - Pricing includes a $2.00 per rx fee to be paid to Alpine Partners, LLC by Pharmacy Service Provider. HCBOC 071426 Pg.107 NOTICE FOR STOP LOSS INSURANCE COVERAGE Group Name Group Number Contract Period Specific Stop Loss COUNTY OF HARNETT 14161687 7/1/2026 through 6/30/2027 Coverage: Medical and Prescription Drug Contract Type: Paid in 12 Level: $175,000 Specific Lifetime Maximum: Unlimited Rate Per Month Per Contract Type: $127.31 - The Employer is responsible for providing Blue Cross NC with current eligibility language. - The Employer is responsible for administering their member eligibility correctly. -Claims paid on ineligible members based upon the Employer’s written eligibility language will NOT be eligible for Stop Loss coverage. - Stop Loss reimbursement for claims in excess of the specific deductible are subject to member eligibility verification. Blue Cross NC requires that the employer provide the Summary Plan Description (SPD) and Leave of Absence language no later than 90 days after the policy’s effective date. Specific Stop Loss claims will not be reimbursed until these documents have been received. - Paid Claims shall mean claims released for payment by Blue Cross NC on any day during the given Contract Period, regardless of the date incurred. -Specific Stop Loss offer includes Synergie Gene+ Risk Protection(SM) for applicable gene therapy treatment costs above your Specific Stop Loss deductible. - IN WITNESS WHEREOF, the Parties have caused their duly authorized representatives to execute this Notice as of the date first above written. Signed For: COUNTY OF HARNETT By ____________________________________ Print Name and Title of Authorized Official _______________________________________ Signature of Authorized Official Date: _________________ Signed For: BLUE CROSS AND BLUE SHIELD OF NORTH CAROLINA By ____________________________________ Date: _________________ Q93966-3_04-22-2026 06_27_13_Med July 2, 2026 HCBOC 071426 Pg.108 SSL_1,19 SPECIFIC STOP LOSS INSURANCE CONTRACT THIS CONTRACT is entered into this July 1, 2026, by and between County of Harnett (“Plan Sponsor”), County of Harnett Group Health Plan (“Group Health Plan”) and County of Harnett (“Plan Administrator”) and Blue Cross and Blue Shield of North Carolina, an independent licensee of the Blue Cross and Blue Shield Association, (“Blue Cross NC”) (collectively, the “Parties”). RECITALS WHEREAS, Plan Sponsor has established and maintains a self-funded Group Health Plan for certain of its employees, retirees and their dependents. WHEREAS, the Group Health Plan and Plan Sponsor have entered into an Administrative Services Agreement with Blue Cross NC to perform services in administering the Group Health Plan (“Administrative Services Agreement”). WHEREAS, the purpose of this contract is to limit Plan Sponsor’s claims liability under the Group Health Plan for an individual Member's Paid Claims, not to exceed the Specific Stop Loss Level elected during a single Contract Period. WHEREAS, Blue Cross NC is willing to provide for assumption of a certain portion of Plan Sponsor’s claims expense liability incurred under the Group Health Plan as set forth herein. NOW, THEREFORE, in consideration of the mutual agreement and conditions contained herein, the Parties agree as follows: 1.DEFINITIONS Wherever used in this contract, the following words and phrases shall have the following meanings, except as otherwise specifically stated or unless a different meaning is plainly required by the context. A.Contract Period-- shall mean the Plan Sponsor’s Specific Stop Loss coverage term as shown in the Notice for Stop Loss Insurance Coverage. B.Member -- shall mean employees, retirees, their dependents, or other eligible persons entitled to benefits under the terms and conditions of the Group Health Plan. C.Paid Claims -- shall mean claims released for payment by Blue Cross NC on any day during the given Contract Period, regardless of the date incurred, unless otherwise indicated in the Notice for Stop Loss Insurance Coverage. Paid Claims do not include those claims paid on an exception basis, where Blue Cross NC has not agreed to accept liability under this contract. Paid Claims exclude (if applicable) “Care Management Fees” as that term is defined in the Administrative Services Agreement referenced herein. D.Specific Stop Loss -- shall mean whenever, during any one Contract Period, Paid Claims for any individual Member exceed the Specific Stop Loss Level elected herein. The HCBOC 071426 Pg.109 SSL_1,19 Specific Stop Loss liability is determined by Blue Cross NC at the end of every month, as the amount that exceeds the Specific Stop Loss Level on a member basis for the Contract Period to date. Credit will be applied on the next monthly billing statement. 2. ELIGIBILITY Prior to the initial Contract Period and each renewal Contract Period thereafter, Plan Sponsor shall provide Blue Cross NC with the Group Health Plan document(s) (e.g., summary plan description (SPD)) and applicable corporate policies (e.g., leave of absence policies), herein incorporated by reference, that clearly defines all categories of Members on the Group Health Plan for the Contract Period. Categories of individuals not specifically and clearly referenced in the document(s) provided may be ineligible for reimbursement under this Stop Loss Contract. 3. PREMIUM PAYMENT The method of payment of administrative fees described in the Administrative Services Agreement between the Plan Sponsor, the Group Health Plan and Blue Cross NC shall apply to payment of Stop Loss premiums. 4. NON-ACCUMULATION Specific Stop Loss coverage is not accumulative from Contract Period to Contract Period. 5. SPECIFIC STOP LOSS LEVEL The Specific Stop Loss Level for an individual Member’s Paid Claims for this Contract Period is indicated in the Notice for Stop Loss Insurance Coverage. 6. NOTICE FOR STOP LOSS INSURANCE COVERAGE Prior to the initial Contract Period and each renewal Contract Period thereafter, Blue Cross NC shall provide the Plan Sponsor with a written Notice for Stop Loss Insurance Coverage, incorporated herein by reference including the following information: a. The beginning and ending dates of the Contract Period b. The Specific Stop Loss Level for an individual Member’s Paid Claims for the Contract Period c. The rates to be charged for the Specific Stop Loss coverage for the Contract Period d. Names of Members to whom the Specific Stop Loss Level set forth in Section 5 does not apply and the applicable Specific Stop Loss Level for such Members. HCBOC 071426 Pg.110 SSL_1,19 In the event of a conflict between this contract and the Notice for Stop Loss Insurance Coverage, the latter shall control. 7. CONTINUATION AND TERMINATION This contract will continue in force during the initial Contract Period as set forth and during each subsequent Contract Period subject to the Plan Sponsor’s timely payment of premiums for Specific Stop Loss Coverage at such rates as set forth in the Notice for Stop Loss Insurance Coverage and subject to the following termination provision: This contract shall terminate immediately upon the occurrence of the first of the following: (i) when any payment of premiums is past due and the Plan Sponsor fails to pay any sum required hereunder within 30 days after a payment due date; provided Plan Sponsor has received prior written notice at least 15 days prior to termination; (ii) upon thirty (30) days’ prior mutual written consent of the Plan Sponsor and Blue Cross NC; (iii) upon expiration of the Contract Period as specified herein (iv) upon termination of the Administrative Services Agreement. In the event the Plan Sponsor initiates termination of the Specific Stop Loss Insurance Contract prior to the end of a Contract Period, Blue Cross NC will retain all Specific Stop Loss premium and fees paid and terminate the Contract as of the date to which premiums are paid. Claims paid after the termination date of the Contract will not be subject to Specific Stop Loss coverage, except as stated in the Notice for Stop Loss Insurance Coverage. 8. RENEWAL Renewal of this contract shall occur upon Blue Cross NC’s issuance to the Plan Sponsor of the Notice for Stop Loss Insurance Coverage described in paragraph 6 of this Specific Stop Loss Insurance Contract and payment of premium or fee therefore. 9. MODIFICATION This contract shall not be modified or changed except as set forth herein or upon mutual written consent of the authorized parties hereto. This contract shall function in addition to those terms and conditions of the Administrative Services Agreement, which shall remain in full force and effect. If, from the date of the stop loss quotation to the end of the Contract Period, any of the following events occur, Blue Cross NC may make an adjustment to Specific Stop Loss rates: (1) a change in benefits that materially affects Blue Cross NC’s liability under the Contract; (2) a 10% or more increase or decrease in: the number of covered persons compared to the number of covered persons quoted; or the demographic factor, including but not limited to the age/sex make-up of the group or geographic location of enrollees; (3) a 10% or more change or shift in contract types. Blue Cross NC will give the Plan Sponsor written notice of any adjustment to Specific Stop Loss rates permitted under this section not less than 30 days before the adjustment becomes effective. Such adjustment shall not become effective without the written consent of the Plan Sponsor. HCBOC 071426 Pg.111 SSL_1,19 10. LIMITATION OF LIABILITY This contract shall not bring about liability of Blue Cross NC to any party or individual other than the Plan Sponsor. 11. BLUE CROSS BLUE SHIELD ASSOCIATION The Plan Sponsor, on behalf of itself and its participants, hereby expressly acknowledges its understanding that this contract constitutes a contract solely between the Plan Sponsor and Blue Cross NC, which is an independent corporation operating under a license from the Blue Cross and Blue Shield Association, an association of independent Blue Cross and Blue Shield Plans, permitting Blue Cross NC to use the Blue Cross and Blue Shield Service Mark in the State of North Carolina and that Blue Cross NC is not contracting as an agent of the Blue Cross and Blue Shield Association. The Plan Sponsor, on behalf of itself and its participants, further acknowledges and agrees that it has not entered into this contract based upon representations by any person other than Blue Cross NC and that no person, entity or organization other than Blue Cross NC shall be held accountable or liable to the Plan Sponsor for any of Blue Cross NC's obligations to the Plan Sponsor created under this contract. This paragraph shall not create any additional obligations whatsoever on the part of Blue Cross NC other than those obligations created under other provisions of this contract. 12. OVERPAYMENTS AND THIRD PARTY LIABILITY The defense of any legal action instituted on a claim for benefits under the Group Health Plan to which this Specific Stop Loss Insurance Contract applies shall be the obligation of the Plan Sponsor. Blue Cross NC, at its own election and expense, shall have the right to participate with the Plan Sponsor in the defense or appeal of any action, suit or proceeding in which Blue Cross NC, in its sole discretion, determines that it may become involved. The Plan Sponsor agrees to inform Blue Cross NC of any legal action instituted on a claim for benefits under the Group Health Plan which does or which may involve liability of Blue Cross NC under this Specific Stop Loss Insurance Contract provision. Such notification shall be in the form of a written memorandum and shall be accompanied by copies of any summons, subpoenas, pleadings, motions, and/or orders concerning the legal action. The Plan Sponsor undertakes to prosecute any and all valid claims that the Plan Sponsor may have against third parties including without limitation, amounts identified through claims audit, coordination of benefits, non-duplication of benefits, workers' compensation, and subrogation arising out of any occurrence resulting in a loss payment by the Plan Sponsor and to account for any amounts recovered. Any coordination of benefits refunds or third party liability amounts received or recovered by the Plan Sponsor with respect to the Group Health Plan shall be used to pay court costs and attorney fees (if any) and, if such amounts are attributable to claim payments included in the Group Health Plan’s experience for any Contract Year during which the Specific Stop Loss Level was HCBOC 071426 Pg.112 SSL_1,19 exceeded, to reimburse Blue Cross NC for any amount that it may have paid or become liable to pay the Plan Sponsor under this Specific Stop Loss Insurance Contract during the current contract year. The Plan Sponsor may deduct attorney’s fees and court costs that it incurs in prosecuting any subrogation claim or other recovery action from the gross amount of any recovery, prior to reimbursing Blue Cross NC for any claim payment made pursuant to the Contract. Thereafter, all remaining amounts shall be applied in the manner determined by the Plan Sponsor or Plan Administrator. IN WITNESS WHEREOF, the Parties have caused their duly authorized representatives to execute this contract to be effective as of the date first above written. Signed For: Plan Sponsor Signed For: Blue Cross and Blue Shield of North Carolina By:_____________________________________ By:_____________________________________ Signature of Authorized Official Signature of Authorized Official Name:___________________________________ Title:____________________________________ Name: Tunde Sotunde, MD Title: President & Chief Executive Officer Date:____________________________________ Date: July 2, 2026 Signed For: Plan Administrator and Group Health Plan By:_____________________________________ Signature of Authorized Official Name:___________________________________ Title:____________________________________ Date:____________________________________ HCBOC 071426 Pg.113