Senate Bill 166 passed the North Carolina House. Now, the bill, backed by the NCHBA, goes on to the Senate Rules and Operation Committee. The bill spells several regulatory changes for building codes.
What Is Senate Bill 166?
The North Carolina Home Builders Association (NCHBA), one of the state’s most influential lobbying groups, is heavily investing in political contributions to push for building code reforms and other legislative priorities.
On May 10, Steven Webb, NCHBA’s Director of Legislative Affairs, applauded the North Carolina House for passing Senate Bill 166, the 2024 Building Code Regulatory Reform. Webb identified this bill as the association’s primary legislative focus for 2024.
Senate Bill 166 seeks to implement various regulatory changes, including:
- Accelerating the sewer review process by the North Carolina Department of Environmental Quality
- Allowing private inspectors to review specific wastewater systems
- Introducing new requirements for registered environmental health specialists
- Reducing the required minimum distance between water supply wells and on-site wastewater systems from 100 feet to 50 feet
The North Carolina building code is traditionally overseen by a 17-member Building Code Council appointed by the governor. However, S.B. 166 proposes reducing the council to 13 members, appointed by the General Assembly and the governor.
Currently under review by the Senate Rules and Operation Committee, the bill has yet to receive updates from Committee Chair Sen. Bill Rabon (R-Brunswick), despite outreach attempts.
Following 2023’s House Bill 488
This legislative push follows the 2023 passage of H.B. 488, which froze updates to energy efficiency standards for residential building codes until 2031. The bill established a new Residential Code Council to set these standards and reduced the authority of the existing Building Code Council, which had proposed new energy efficiency measures. The NCHBA contended that these updates would increase construction costs and exacerbate the housing affordability crisis.
New Hanover County Commissioner Rob Zapple, a member of the Building Code Council, criticized NCHBA’s efforts as shortsighted, given the rising risks of coastal storms and increasing homeowner insurance rates. He also noted that a provision in H.B. 488 prevents local governments from requiring sheathing inspections unless wind speeds exceed 140 mph.
Zapple argued that delaying updates to building codes hampers North Carolina’s ability to secure federal grants. He highlighted that the state’s building codes haven’t been updated in years.
NCHBA on Full Support
An April 2024 report by the Insurance Institute for Business & Home Safety labeled North Carolina’s recent restrictions on building code updates as the “most concerning negative action” among 18 hurricane-prone states assessed since 2021. The report warned that these changes would make homeowners more vulnerable to severe weather.
Documents obtained by the Energy and Policy Institute showed that NCHBA collaborated with Rep. Mark Brody (R-Anson) and legislative aides to draft the 2023 bill. According to Secretary of State records, the association spent $346,458 on lobbying efforts in 2023.
NCHBA has maintained its political spending in 2024, with its PAC disbursing $214,550 in the first quarter. This includes maximum donations of $6,400 to state senators Brent Jackson (R-Pender), Bill Rabon (R-Brunswick), and Michael Lee (R-New Hanover). Additionally, NCHBA contributed $1,000 to representatives Frank Iler (R-Brunswick), Ted Davis Jr. (R-New Hanover), Charles Miller (R-Brunswick, New Hanover), and Carson Smith (R-Pender), all of whom supported S.B. 166.