NC H522

Replaces the county-specific Local Option Sales Tax (LOST) adjustment factor table with a three-tier economic development classification system.

Creates three adjustment factors based on development tier designation under G.S. 143B-437.08: Development Tier One (1.10), Development Tier Two (1.00), and Development Tier Three (0.90).

Makes development tier designations effective for the fiscal year following the designation, with the Secretary adjusting amounts allocated to each county by multiplying by the appropriate tier factor.

Eliminates individual county adjustment factors that previously ranged from 0.81 to 1.49 and were assigned to specific counties.

Effective July 1, 2017, applying to local option sales taxes collected on or after that date and distributed to counties and cities on or after September 1, 2017.