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North Carolina limits liability for nonprofit contractors providing health and human services
Original title: Children's Services Protection Act.
Last action · May 7, 2025: Ref To Com On Rules and Operations of the Senate (Senate action)Sponsors: Allen Chesser and 16 others
Bill progressHistory & official text ↓
Introduced
Committee
Floor Vote
Passed
Law
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Public stanceCommunity reactions are separate from the official record and reporting.
What This Bill Would Do
North Carolina shields s and independent contractors from liability for the negligence of public health and human services agencies, effective October 1, 2025. Under the measure, contractors providing Department of Health and Human Services programs are subject to state monetary damage limits and state indemnification for judgments exceeding those limits.
Why it matters
Changes legal liability and financial exposure for private organizations and independent contractors partnering with North Carolina health and human services agencies, while capping tort damages and shifting excess judgments to state indemnification for qualifying contractors.
Background
- The Department of Health and Human Services provides numerous health, human, and welfare services across North Carolina, frequently partnering with private nonprofit organizations and independent contractors. context
- North Carolina General Statutes Chapter 143 governs state departments, institutions, and administrative procedures, including tort claims against state agencies. context
Who It Would Affect
Groups the bill's text would affect if enacted, as described in the record. Being affected is not a position for or against it.
Directly affected
Nongovernmental organizations
Organizations contracting with public agencies for health, human, and welfare services are protected from liability caused by public agency negligence and must bear their own defense costs.
Directly affected
Nongovernmental independent contractors
Independent contractors providing health, human, and welfare services are subject to specific monetary damage limits, must be sued in court rather than before the Industrial Commission, and are eligible for state indemnification for damages exceeding those limits.
Directly affected
Department of Health and Human Services
The Department and its affiliated county or local agencies partner with nongovernmental organizations and independent contractors to provide health, human, and welfare services under updated liability rules.
Key Facts
- Nongovernmental organizations contracting with public agencies for health, human, and welfare services cannot be held liable for injury or damage caused by the negligence of the public agency or its employees, volunteers, or agents.
- Contracting organizations and public agencies each bear the costs of defending themselves against their respective acts and omissions.
- Contract provisions attempting to impose tort liability on a nongovernmental organization for a public agency's negligence are void and unenforceable.
- Nongovernmental independent contractors providing health, human, and welfare services are deemed the functional equivalent of the public agency and fulfill an authorized public purpose.
Show all 9 facts
- Nongovernmental independent contractors are subject to the monetary limits provided in G.S. 143-299.2 and claims against them must be filed in a court of competent jurisdiction rather than before the Industrial Commission.
- The State shall indemnify nongovernmental independent contractors for damages incurred in excess of the monetary limits in G.S. 143-299.2.
- Claims for indemnification costs, including attorneys' fees, must be presented by the claimant to the Industrial Commission.
- A copy of a final judgment or settlement exceeding the monetary limits must be filed with the Industrial Commission within 60 days of its effective date.
- The act becomes effective October 1, 2025, and applies to claims arising from acts or omissions occurring on or after that date and contracts entered into or renewed on or after that date.
Frequently Asked Questions
Can a nonprofit organization be held liable for negligence committed by a public agency employee?
No. Under the measure, s contracting with public agencies for health, human, and welfare services are explicitly shielded from liability for injury or damage caused by the negligence of the public agency, its officers, employees, volunteers, or agents.
Where must claims against nongovernmental independent contractors providing health and human services be filed?
Claims against s arising from the provision of these services must be filed in a court of competent jurisdiction, and not before the Industrial Commission.
When does this legislation take effect?
The act becomes effective October 1, 2025, and applies to claims arising from acts or omissions occurring on or after that date, as well as contracts entered into or renewed on or after that date.
What else do you want to know?
News Coverage
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Votes, people, money & the original sourceWhere This Stands
Currently passed chamber. The next step in the legislative lifecycle is Law.
Procedural history
18 actions- May 7, 2025SenateRef To Com On Rules and Operations of the Senate
- May 7, 2025SenatePassed 1st Reading
- May 7, 2025SenateSpecial Message Received From House
- May 7, 2025HouseSpecial Message Sent To Senate
- May 7, 2025HouseOrdered Engrossed
- May 7, 2025HousePassed 3rd Reading
Show 12 earlier actions
- May 7, 2025HousePassed 2nd Reading
- May 7, 2025HouseAmend Adopted A1
- May 6, 2025HousePlaced On Cal For 05/07/2025
- May 6, 2025HouseCal Pursuant Rule 36(b)
- May 6, 2025HouseReptd Fav
- May 6, 2025HouseRe-ref Com On Rules, Calendar, and Operations of the House
- May 6, 2025HouseReptd Fav
- Apr 30, 2025HouseRe-ref Com On Judiciary 1
- Apr 30, 2025HouseReptd Fav Com Substitute
- Mar 31, 2025HouseRef to the Com on Health, if favorable, Judiciary 1, if favorable, Rules, Calendar, and Operations of the House
- Mar 31, 2025HousePassed 1st Reading
- Mar 26, 2025HouseIntroducedFiled
Version history
Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.
View official text →Voting Record
Outcome not reportedOfficial roll call ↗
Second Reading
Total
115
- Yes
- 97
- No
- 8
- Present
- 0
- Not voting
- 10
- Abstain
- 0
How they voted (115)
Allen BuansiParty not recordedyes
Rodney PierceParty not recordedyes
Bryan CohnParty not recordedyes
William BrissonParty not recordedyes
Cynthia BallParty not recordedno
Monika Johnson-HostlerParty not recordedyes
Zack HawkinsParty not recordedyes
Bill WardParty not recordedyes
Robert ReivesParty not recordedyes
Kelly HastingsParty not recordedyes
Keith KidwellParty not recordedyes
Garland PierceParty not recordedyes
Mike SchietzeltParty not recordedyes
Jake JohnsonParty not recordedyes
Jennifer BalkcomParty not recordedyes
von HaefenParty not recordedno
Nasif MajeedParty not recordedyes
Blair EddinsParty not recordedyes
Dudley GreeneParty not recordedyes
Joe PikeParty not recordedyes
Mike ColvinParty not recordedyes
Wyatt GableParty not recordedyes
Beth Gardner HelfrichParty not recordedyes
John BlustParty not recordedyes
91 more members
Jonathan AlmondParty not recordedyes
Aisha DewParty not recordedabsent
Ya LiuParty not recordedyes
Phil ShepardParty not recordedyes
Becky CarneyParty not recordedyes
Grant CampbellParty not recordedabsent
Marcia MoreyParty not recordedno
Donnie LoftisParty not recordedyes
Laura BuddParty not recordedyes
Renée PriceParty not recordedno
Donna WhiteParty not recordedyes
Reece PyrtleParty not recordedyes
Cody HuneycuttParty not recordedabsent
Brandon LoftonParty not recordedabsent
Julia HowardParty not recordedyes
Celeste CairnsParty not recordedyes
Erin ParéParty not recordedyes
Pricey HarrisonParty not recordedno
Diane WheatleyParty not recordedyes
Larry StricklandParty not recordedyes
Hugh BlackwellParty not recordedyes
Lindsey PratherParty not recordedabsent
Amos QuickParty not recordedyes
Mark PlessParty not recordedyes
Brian TurnerParty not recordedabsent
Tim LongestParty not recordedyes
Jay AdamsParty not recordedyes
Larry PottsParty not recordedyes
Maria CervaniaParty not recordedyes
Dennis RiddellParty not recordedyes
Carolyn LoganParty not recordedyes
Ray PickettParty not recordednot voting
Vernetta AlstonParty not recordedyes
Chris HumphreyParty not recordedyes
Ed GoodwinParty not recordedyes
Howard PennyParty not recordedyes
Mark BrodyParty not recordedyes
Sam WatfordParty not recordedyes
Alan BransonParty not recordedyes
Tricia CothamParty not recordedyes
Amber BakerParty not recordedabsent
Deb ButlerParty not recordedno
Brian BiggsParty not recordedyes
Jimmy DixonParty not recordedyes
Allen ChesserParty not recordedyes
Dean ArpParty not recordedyes
Jeff McNeelyParty not recordednot voting
John TorbettParty not recordedyes
Terry BrownParty not recordedyes
Gloristine BrownParty not recordedyes
Charles SmithParty not recordedyes
Matthew WinslowParty not recordedyes
Julia GreenfieldParty not recordedno
David WillisParty not recordedyes
Harry WarrenParty not recordedyes
John BellParty not recordedyes
Brian EchevarriaParty not recordedyes
Jordan LopezParty not recordedno
Brenden JonesParty not recordedyes
Todd CarverParty not recordedyes
Ted DavisParty not recordedyes
Allison DahleParty not recordedyes
Tracy ClarkParty not recordedyes
Jeff ZengerParty not recordedyes
Heather RhyneParty not recordedyes
Mary BelkParty not recordedyes
Ben MossParty not recordedyes
Shelly WillinghamParty not recordedyes
Kanika BrownParty not recordedyes
John SaulsParty not recordedyes
Sarah CrawfordParty not recordedyes
Neal JacksonParty not recordedyes
Abe JonesParty not recordedyes
Tim ReederParty not recordedyes
Stephen RossParty not recordedyes
Dante PittmanParty not recordedyes
Donny LambethParty not recordedyes
Paul ScottParty not recordedyes
Frank IlerParty not recordedyes
Steve TysonParty not recordedyes
Carla CunninghamParty not recordedyes
Charlie MillerParty not recordedyes
Ray JeffersParty not recordedyes
Kyle HallParty not recordedyes
Carson SmithParty not recordedyes
Eric AgerParty not recordedyes
James RobersonParty not recordedyes
Frances JacksonParty not recordedyes
Phil RubinParty not recordedabsent
Mitchell SetzerParty not recordedyes
Karl GillespieParty not recordedyes
Show 1 earlier roll call
Outcome not reportedOfficial roll call ↗
A1 Chesser Second Reading
Total
115
- Yes
- 103
- No
- 1
- Present
- 0
- Not voting
- 11
- Abstain
- 0
How they voted (115)
Donna WhiteParty not recordedyes
Dudley GreeneParty not recordedyes
Allen BuansiParty not recordedyes
Howard PennyParty not recordedyes
Cody HuneycuttParty not recordedabsent
Laura BuddParty not recordednot voting
Bill WardParty not recordedyes
Jennifer BalkcomParty not recordedyes
Phil ShepardParty not recordedyes
John BlustParty not recordedyes
Mary BelkParty not recordedyes
Carson SmithParty not recordedyes
Grant CampbellParty not recordedabsent
Jonathan AlmondParty not recordedyes
Ben MossParty not recordedyes
von HaefenParty not recordedyes
Deb ButlerParty not recordedyes
Jeff McNeelyParty not recordedyes
Tim ReederParty not recordedyes
Vernetta AlstonParty not recordedyes
Wyatt GableParty not recordedyes
Eric AgerParty not recordedyes
Keith KidwellParty not recordedyes
Neal JacksonParty not recordedyes
91 more members
James RobersonParty not recordedyes
Jake JohnsonParty not recordedyes
Jay AdamsParty not recordedyes
Carolyn LoganParty not recordedyes
Jeff ZengerParty not recordedyes
Ed GoodwinParty not recordedyes
Todd CarverParty not recordedyes
Monika Johnson-HostlerParty not recordedyes
Heather RhyneParty not recordedyes
Tracy ClarkParty not recordedyes
Ya LiuParty not recordedyes
Ted DavisParty not recordedyes
Sarah CrawfordParty not recordedyes
Tim LongestParty not recordedyes
Hugh BlackwellParty not recordedyes
Kanika BrownParty not recordedyes
Brian TurnerParty not recordedabsent
Carla CunninghamParty not recordedyes
Tricia CothamParty not recordedyes
Zack HawkinsParty not recordedyes
Garland PierceParty not recordedyes
Diane WheatleyParty not recordedyes
Abe JonesParty not recordedyes
John TorbettParty not recordednot voting
Cynthia BallParty not recordedyes
Rodney PierceParty not recordedyes
Brenden JonesParty not recordedyes
Joe PikeParty not recordedyes
Robert ReivesParty not recordedyes
Donnie LoftisParty not recordedyes
John SaulsParty not recordedyes
Mitchell SetzerParty not recordedyes
Allen ChesserParty not recordedyes
Aisha DewParty not recordedabsent
Gloristine BrownParty not recordedyes
Frances JacksonParty not recordedyes
Pricey HarrisonParty not recordedno
Steve TysonParty not recordedyes
Mark BrodyParty not recordedyes
Kyle HallParty not recordedyes
Chris HumphreyParty not recordedyes
Amos QuickParty not recordedyes
Ray PickettParty not recordednot voting
Charles SmithParty not recordedyes
Marcia MoreyParty not recordedyes
Celeste CairnsParty not recordedyes
Matthew WinslowParty not recordedyes
Julia HowardParty not recordedyes
Harry WarrenParty not recordedyes
Erin ParéParty not recordedyes
Renée PriceParty not recordedyes
Ray JeffersParty not recordedyes
Amber BakerParty not recordedabsent
Nasif MajeedParty not recordedyes
Mark PlessParty not recordedyes
Jordan LopezParty not recordedyes
Frank IlerParty not recordedyes
Maria CervaniaParty not recordedyes
William BrissonParty not recordedyes
Larry PottsParty not recordedyes
Bryan CohnParty not recordedyes
Allison DahleParty not recordedyes
Larry StricklandParty not recordedyes
Becky CarneyParty not recordedyes
Sam WatfordParty not recordedyes
Terry BrownParty not recordedyes
Blair EddinsParty not recordedyes
Karl GillespieParty not recordedyes
Reece PyrtleParty not recordedyes
Dennis RiddellParty not recordedyes
Charlie MillerParty not recordedyes
Alan BransonParty not recordedyes
Brian EchevarriaParty not recordedyes
John BellParty not recordedyes
Brandon LoftonParty not recordedabsent
Mike ColvinParty not recordedyes
Jimmy DixonParty not recordedyes
Mike SchietzeltParty not recordedyes
Phil RubinParty not recordedabsent
Paul ScottParty not recordedyes
Shelly WillinghamParty not recordedyes
Lindsey PratherParty not recordedabsent
Dean ArpParty not recordedyes
David WillisParty not recordedyes
Stephen RossParty not recordedyes
Julia GreenfieldParty not recordedyes
Dante PittmanParty not recordedyes
Kelly HastingsParty not recordedyes
Beth Gardner HelfrichParty not recordedyes
Brian BiggsParty not recordedyes
Donny LambethParty not recordedyes
Lobbying Activity
No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.
Full breakdown
Who this bill affects and the strongest case for and against it, written only from the bill’s own text.
Sponsors
Show 12 more sponsors
Discoveries
Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.
policy shift95% confidence
Standardization of Contractor and Nonprofit Liability
The legislation establishes separate limited liability frameworks for nongovernmental organizations and independent contractors working with the Department of Health and Human Services.
Connected Entities
otherG.S. 143-299.2“Statute providing monetary limits to which independent contractors are subjected”Map →
OrganizationIndustrial Commission“State commission where claims and indemnification costs for independent contract”Map →
OrganizationDepartment of Health and Human Services“State agency providing health, human, and welfare services in conjunction with n”Map →
otherArticle 31 of Chapter 143 of the General Statutes“Statutory chapter amended to add limited liability sections for organizations an”Map →
Sources
Open source document
www.ncleg.gov
Analysis Score
0–100- Significance65How much this matters to a regular citizen
- Controversy40Intensity of disagreement among stakeholders
- Entertainment5Compellingness for a non-policy-wonk reader
- Buzz30Current news / social attention level
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