A: If a local government does not comply with the requirements of G.S. 143-128.2, the Secretary of Administration will identify the government’s deficiencies and notify it. The local government then must develop a corrective plan to address those deficiencies. To the extent feasible, the corrective plan should apply to the current project, but it may also apply to subsequent projects under G.S. 143-128 as appropriate. If the local government receives notification of noncompliance from the Secretary and does not file a corrective plan, or if it does not properly implement the corrective plan, the local government is subject to further consequences. The Secretary may require the local government to work with the Office of Historically Underutilized Businesses (HUB) to develop a new corrective plan subject to approval by the Department of Administration (DOA) and the Attorney General. The Secretary may also require the Department of Administration and the Attorney General to review the local government’s new corrective plan prior to any projects bid under G.S. 143-128 for a period determined by the Secretary, but no longer than one year. G.S. 143-128.3 outlines these sanctions, and question 14 below provides a link to the statute.

This statute also provides that DOA shall report any public entity that does not report the required information to the Department. DOA must also notify the Attorney General of any false statements knowingly provided in any documentation associated with G.S. 143-128.2. Public entities should provide information of any such false statements to the Secretary of Administration.