North CarolinaSB 10742025-2026 SessionSenate

AN ACT AUTHORIZING THE CITY OF EDEN TO ENTER INTO AN ANNEXATION AGREEMENT WITH DUKE ENERGY FOR PAYMENTS IN LIEU OF ANNEXATION.

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 0 benefits, 0 costs, 3 mixed.

Guilford 0.25% sales tax: where it goes

Guilford County may levy a 0.25% local sales and use tax only if voters approve it. If approved, 96% of the net proceeds go to the County and 4% to a pool for qualifying cities and towns. County funds must add to, not replace, current budgets. Each year, the County spends 73% on teacher salary supplements (including instructional support), 19% on fire and rescue equipment and capital, and 8% on Guilford Technical Community College capital. On the ballot and in practice, that equals about 70% for teacher supplements, about 18% for fire protection, about 8% for GTCC, and 4% for municipalities. Towns get the 4% pool only if they qualify under a formula that compares per capita and ad valorem distributions. Summerfield must send its share to the Summerfield Fire District for water-related fire capital until a total of $3 million is reached; after that, Summerfield may use its share for any public purpose. These rules take effect July 2, 2026.

Eden-Duke deal: no annexation, $1M

The law lets Eden and Duke Energy sign a binding deal for the Dan River Plant Property. From July 1, 2025 to June 30, 2030, Eden cannot involuntarily annex that property. In return, Duke Energy pays $1,000,000 to the City as five yearly payments of $200,000. The agreement binds current and future City Councils during the term. These authorities take effect July 2, 2026.

Mills River 2025-26 zoning rules void

Any unified development ordinance the Town of Mills River adopted from June 30, 2025 to July 1, 2026 is null and void. Those zoning and development codes have no legal effect. This change takes effect July 2, 2026.

Sponsors & Cosponsors

Sponsor

Phil Berger
Republican • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 298 • No: 14

House vote • 7/1/2026

SB 1074: Eden/Mills River/Guilford Article 46 Local Act.

Yes: 106 • No: 7 • Other: 5

House vote • 6/30/2026

SB 1074: Eden/Mills River/Guilford Article 46 Local Act.

Yes: 104 • No: 7 • Other: 8

Senate vote • 6/11/2026

SB 1074: Eden/Mills River/Guilford Art 46 Local Act.

Yes: 40 • No: 0 • Other: 9

Senate vote • 6/10/2026