Closed Session Deep Dive: The Business Location Exception

<p>This post, co-authored by Kristina Wilson and Tyler Mulligan, also appeared on the Coates’ Canons Local Government Law Blog here.</p> <p>The open meetings law requires all official meetings of public bodies to be open to the public. G.S. 143-318.10(a). However, government bodies can hold closed-door meetings, known as closed sessions, under certain limited circumstances. When in closed session, the public body must restrict its discussion to the narrow topic that is statutorily permitted to be discussed in closed session. Any discussion outside of the allowable topic must be conducted in open session. This post focuses on closed sessions for the purpose of discussing the location and expansion of industries or other businesses and is part of a series authored by Kristina Wilson examining each of the closed session purposes.</p> Purpose (a)(4): The Location or Expansion of Industries or Other Businesses <p>Under G.S. 143-318.11(a)(4), government bodies may enter closed session to discuss business or industry expansion and location, as well as military installation closure or realignment. The statute’s legislative history is important for understanding its language. According to the 1979 Legislative Study Commission that recommended (a)(4)’s original statutory language, the purpose of this subsection was to protect “contacts with public groups” by a business that is considering locating or expanding in a jurisdiction. Many companies will only engage with governments that agree to keep certain details surrounding expansion and location plans confidential. It’s not surprising that businesses would rather not alert their competition to potential location or expansion plans. This subsection sought to preserve businesses’ interest in [...]</p>