VOLUME 31 ISSUE 21 Pages 2063 2203

NORTH CAROLINA

VOLUME 31 ● ISSUE 21 ● Pages 2063 – 2203

May 1, 2017

I. PROPOSED RULES

Commerce, Department of

Employment Security, Division of...... 2063 – 2073

Natural and Cultural Resources, Department of

Department...... 2073 – 2075

Public Safety, Department of

Boxing Authority...... 2075 – 2077

II. APPROVED RULES...... 2078– 2189

Agriculture and Consumer Services, Department of

Agriculture, Board of

Commerce, Department of

Employment Security, Division of

Health and Human Services, Department of

Medical Care Commission

Mental Health, Commission For

Justice, Department of

Criminal Justice Education and Training Standards Commission

Environmental Quality, Department of

Wildlife Resources Commission

Public Health, Commission For

Occupational Licensing Boards and Commissions

Barber Examiners, Board of

Chiropractic Examiners, Board of

Employee Assistance Professionals, Board of

Dental Examiners, Board of

Massage and Bodywork Therapy, Board of

Podiatry Examiners, Board of

Real Estate Commission

State Human Resources, Office of

State Human Resources Commission

Administrative Hearings, Office of

Hearings Division

III. RULES REVIEW COMMISSION...... 2190 - 2198

IV. CONTESTED CASE DECISIONS

Index to ALJ Decisions...... 2199 - 2203

PUBLISHED BY

The Office of Administrative Hearings

Rules DivisionJulian Mann III, Director

6714 Mail Service CenterMolly Masich, Codifier of Rules

Raleigh, NC 27699-6714Dana Vojtko, Publications Coordinator

Telephone (919) 431-3000Lindsay Woy, Editorial Assistant

Fax (919) 431-3104

Contact List for Rulemaking Questions or Concerns

For questions or concerns regarding the Administrative Procedure Act or any of its components, consult with the agencies below. The bolded headings are typical issues which the given agency can address, but are not inclusive.

Rule Notices, Filings, Register, Deadlines, Copies of Proposed Rules, etc.

Office of Administrative Hearings

Rules Division

1711 New Hope Church Road(919) 431-3000

Raleigh, North Carolina27609(919) 431-3104 FAX

contact: Molly Masich, Codifier of (919) 431-3071

Dana Vojtko, Publications Coordinator (919) 431-3075

Lindsay Woy, Editorial (919) 431-3078

Rule Review and Legal Issues

Rules Review Commission

1711 New Hope Church Road(919) 431-3000

Raleigh, North Carolina27609(919) 431-3104 FAX

contact:Abigail Hammond, Commission (919) 431-3076

Amber Cronk May, Commission (919) 431-3074

Amanda Reeder, Commission (919) 431-3079

Jason Thomas, Commission (919) 431-3081

Alexander Burgos, (919) 431-3080

Julie Brincefield, Administrative Assistant (919) 431-3073

Fiscal Notes & Economic Analysis and Governor's Review

Office of State Budget and Management

116 West Jones Street(919) 807-4700

Raleigh, North Carolina27603-8005(919) 733-0640 FAX

Contact: Anca Grozav, Economic (919) 807-4740

Carrie Hollis, Economic (919) 807-4757

NC Association of CountyCommissioners

215 North Dawson Street(919) 715-2893

Raleigh, North Carolina27603

contact: Amy

NC League of Municipalities(919) 715-4000

215 North Dawson Street

Raleigh, North Carolina27603

contact: Sarah

Legislative Process Concerning Rule-making

545 Legislative Office Building

300 North Salisbury Street(919) 733-2578

Raleigh, North Carolina27611(919) 715-5460 FAX

Karen Cochrane-Brown, Director/Legislative Analysis

Jeff Hudson, Staff

NORTH CAROLINA REGISTER

Publication Schedule for January 2017 – December 2017

FILING DEADLINES / NOTICE OF TEXT / PERMANENT RULE / TEMPORARY RULES
Volume & issue number / Issue date / Last day for filing / Earliest date for public hearing / End of required comment
Period / Deadline to submit to RRC
for review at
next meeting / Earliest Eff.
Date of
Permanent Rule / Delayed Eff. Date of
Permanent Rule
31st legislative day of the session beginning: / 270th day from publication in the Register
31:13 / 01/03/17 / 12/07/16 / 01/18/17 / 03/06/17 / 03/20/17 / 05/01/17 / 05/2018 / 09/30/17
31:14 / 01/17/17 / 12/20/16 / 02/01/17 / 03/20/17 / 04/20/17 / 06/01/17 / 05/2018 / 10/14/17
31:15 / 02/01/17 / 01/10/17 / 02/16/17 / 04/03/17 / 04/20/17 / 06/01/17 / 05/2018 / 10/29/17
31:16 / 02/15/17 / 01/25/17 / 03/02/17 / 04/17/17 / 04/20/17 / 06/01/17 / 05/2018 / 11/12/17
31:17 / 03/01/17 / 02/08/17 / 03/16/17 / 05/01/17 / 05/22/17 / 07/01/17 / 05/2018 / 11/26/17
31:18 / 03/15/17 / 02/22/17 / 03/30/17 / 05/15/17 / 05/22/17 / 07/01/17 / 05/2018 / 12/10/17
31:19 / 04/03/17 / 03/13/17 / 04/18/17 / 06/02/17 / 06/20/17 / 08/01/17 / 05/2018 / 12/29/17
31:20 / 04/17/17 / 03/24/17 / 05/02/17 / 06/16/17 / 06/20/17 / 08/01/17 / 05/2018 / 01/12/18
31:21 / 05/01/17 / 04/07/17 / 05/16/17 / 06/30/17 / 07/20/17 / 09/01/17 / 05/2018 / 01/26/18
31:22 / 05/15/17 / 04/24/17 / 05/30/17 / 07/14/17 / 07/20/17 / 09/01/17 / 05/2018 / 02/09/18
31:23 / 06/01/17 / 05/10/17 / 06/16/17 / 07/31/17 / 08/21/17 / 10/01/17 / 05/2018 / 02/26/18
31:24 / 06/15/17 / 05/24/17 / 06/30/17 / 08/14/17 / 08/21/17 / 10/01/17 / 05/2018 / 03/12/18
32:01 / 07/03/17 / 06/12/17 / 07/18/17 / 09/01/17 / 09/20/17 / 11/01/17 / 05/2018 / 03/30/18
32:02 / 07/17/17 / 06/23/17 / 08/01/17 / 09/15/17 / 09/20/17 / 11/01/17 / 05/2018 / 04/13/18
32:03 / 08/01/17 / 07/11/17 / 08/16/17 / 10/02/17 / 10/20/17 / 12/01/17 / 05/2018 / 04/28/18
32:04 / 08/15/17 / 07/25/17 / 08/30/17 / 10/16/17 / 10/20/17 / 12/01/17 / 05/2018 / 05/12/18
32:05 / 09/01/17 / 08/11/17 / 09/16/17 / 10/31/17 / 11/20/17 / 01/01/18 / 05/2018 / 05/29/18
32:06 / 09/15/17 / 08/24/17 / 09/30/17 / 11/14/17 / 11/20/17 / 01/01/18 / 05/2018 / 06/12/18
32:07 / 10/02/17 / 09/11/17 / 10/17/17 / 12/01/17 / 12/20/17 / 02/01/18 / 05/2018 / 06/29/18
32:08 / 10/16/17 / 09/25/17 / 10/31/17 / 12/15/17 / 12/20/17 / 02/01/18 / 05/2018 / 07/13/18
32:09 / 11/01/17 / 10/11/17 / 11/16/17 / 01/02/18 / 01/22/18 / 03/01/18 / 05/2018 / 07/29/18
32:10 / 11/15/17 / 10/24/17 / 11/30/17 / 01/16/18 / 01/22/18 / 03/01/18 / 05/2018 / 08/12/18
32:11 / 12/01/17 / 11/07/17 / 12/16/17 / 01/30/18 / 02/20/18 / 04/01/18 / 05/2018 / 08/28/18
32:12 / 12/15/17 / 11/22/17 / 12/30/17 / 02/13/18 / 02/20/18 / 04/01/18 / 05/2018 / 09/11/18

This document is prepared by the Office of Administrative Hearings as a public service and is not to be deemed binding or controlling.

EXPLANATION OF THE PUBLICATION SCHEDULE

This Publication Schedule is prepared by the Office of Administrative Hearings as a public service and the computation of time periods are not to be deemed binding or controlling. Time is computed according to 26 NCAC 2C .0302 and the Rules of Civil Procedure, Rule 6.

GENERAL

The North Carolina Register shall be published twice a month and contains the following information submitted for publication by a state agency:

(1)temporary rules;

(2)text of proposed rules;

(3)text of permanent rules approved by the Rules Review Commission;

(4)emergency rules

(5)Executive Orders of the Governor;

(6)final decision letters from the U.S. Attorney General concerning changes in laws affecting voting in a jurisdiction subject of Section 5 of the Voting Rights Act of 1965, as required by G.S. 120-30.9H; and

(7)other information the Codifier of Rules determines to be helpful to the public.

COMPUTING TIME: In computing time in the schedule, the day of publication of the North Carolina Register is not included. The last day of the period so computed is included, unless it is a Saturday, Sunday, or State holiday, in which event the period runs until the preceding day which is not a Saturday, Sunday, or State holiday.

FILING DEADLINES

ISSUE DATE: The Register is published on the first and fifteen of each month if the first or fifteenth of the month is not a Saturday, Sunday, or State holiday for employees mandated by the State Personnel Commission. If the first or fifteenth of any month is a Saturday, Sunday, or a holiday for State employees, the North Carolina Register issue for that day will be published on the day of that month after the first or fifteenth that is not a Saturday, Sunday, or holiday for State employees.

LAST DAY FOR FILING: The last day for filing for any issue is 15 days before the issue date excluding Saturdays, Sundays, and holidays for State employees.

NOTICE OF TEXT

EARLIEST DATE FOR PUBLIC HEARING: The hearing date shall be at least 15 days after the date a notice of the hearing is published.

END OF REQUIRED COMMENT PERIOD
An agency shall accept comments on the text of a proposed rule for at least 60 days after the text is published or until the date of any public hearings held on the proposed rule, whichever is longer.

DEADLINE TO SUBMIT TO THE RULES REVIEW COMMISSION: The Commission shall review a rule submitted to it on or before the twentieth of a month by the last day of the next month.

FIRST LEGISLATIVE DAY OF THE NEXT REGULAR SESSION OF THE GENERAL ASSEMBLY: This date is the first legislative day of the next regular session of the General Assembly following approval of the rule by the Rules Review Commission. See G.S. 150B-21.3, Effective date.

PROPOSED RULES

Note from the Codifier:The notices published in thisSection of the NC Register include the text of proposed rules. The agency must accept comments on the proposed rule(s) for at least 60 days from the publication date, or until the public hearing, or a later date if specified in the notice by the agency. If the agency adopts a rule that differs substantially from a prior published notice, the agency must publish the text of the proposed different rule and accept comment on the proposed different rule for 60 days.
Statutory reference: G.S. 150B-21.2.

31:21NORTH CAROLINA REGISTERMay 1, 2017

PROPOSED RULES

TITLE 04 – Department of commerce

Notice is hereby given in accordance with G.S. 150B-21.2 that the Department of Commerce, Division of Employment Security intends to adopt the rule cited as 04 NCAC 24A .0110 and amend the rules cited as 04 NCAC 24A .0102-.0105, .0109; 24B .0402; and 24C .0204.

Link to agency website pursuant to G.S. 150B-19.1(c):

Proposed Effective Date: September 1, 2017

Public Hearing:

Date: May 31, 2017

Time: 11:00 a.m.

Location: North Carolina Department of Commerce, Division of Employment Security, 700 Wade Avenue, Room C-165, Raleigh, NC 27605

Reason for Proposed Action: NC Session Law 2015-238 made changes to Chapter 96 of the North Carolina General Statutes. Part of the law, codified as G.S. 96-40, addresses unemployment insurance (UI) program integrity, and requires DES to prioritize enhancements, and maximize the efficiency of the State's UI program. The law requires DES to share information with certain other entities in order to prevent, detect, and reduce UI fraud, improper payments, and overpayments. The General Assembly specifically directed that DES participate in the Southeast Consortium Unemployment Insurance Benefits Initiative (SCUBI), a multi-state consortia consisting of North and South Carolina, and Georgia. The consortia has been working together to modernize their UI systems for better efficiency and cost-effectiveness. Another program, the State Information Data Exchange System (SIDES), is a web-based system that was developed between the United States Department of Labor and state UI agencies to streamline processes. DES and its customers are already using SIDES, and expect to begin using SCUBI this summer. As a result, DES must amend Rules 24A .0103, 24A .0104, 24A .0105, 24B .0402 and 24C .0204 to comply with the mandate for better effectiveness and efficiency. Rules 24A .0109 and 24A .0110 are proposed to clarify the authority granted by, and limitations on use of powers of attorney when conducting business with DES.

Comments may be submitted to: Sheena J. Cobrand, NC Division of Employment Security-Legal Services Section, P.O. Box 25903; fax (919) 715-7194; email

Comment period ends: June 30, 2017

Procedure for Subjecting a Proposed Rule to Legislative Review: If an objection is not resolved prior to the adoption of the rule, a person may also submit written objections to the Rules Review Commission after the adoption of the Rule. If the Rules Review Commission receives written and signed objections after the adoption of the Rule in accordance with G.S. 150B-21.3(b2) from 10 or more persons clearly requesting review by the legislature and the Rules Review Commission approves the rule, the rule will become effective as provided in G.S. 150B-21.3(b1). The Commission will receive written objections until 5:00 p.m. on the day following the day the Commission approves the rule. The Commission will receive those objections by mail, delivery service, hand delivery, or facsimile transmission. If you have any further questions concerning the submission of objections to the Commission, please call a Commission staff attorney at 919-431-3000.

Fiscal impact (check all that apply).

State funds affected

Environmental permitting of DOT affected

Analysis submitted to Board of Transportation

Local funds affected

Substantial economic impact (≥$1,000,000)

Approved by OSBM

No fiscal note required by G.S. 150B-21.4

Chapter 24 - Employment Security

SUBCHAPTER 24A – GENERAL

SECTION .0100 – GENERAL

04 NCAC 24A .0102ADDRESS CHANGES AND ELECTRONIC ADDRESS CHANGES

(a) Each employing unit that has or had individuals in employment as defined in G.S. 96-1 shall notify DES in writing of any change to its mailing address.This notice shall be transmitted by facsimile, via the internet, or by postal mail within seven days after the effective date of the change.All notices shall be submitted to the Tax Administration Section, ATTN:Attn: Address Change by mail to Post Office Box 26504, Raleigh, North Carolina, 27611, facsimile to (919) 715-7194, or email to .

(b) Each claimant with an active claim, or who is registered for work at a public employment office, shall notify DES in writing of any change in address or electronic mail address within seven days after the effective date of the change.All notices shall be submitted to the DES Customer Call Center, Attn: Address Change, by mail to Post Office Box 25903, Raleigh, NC 27611, facsimile to (919) 857-1296, or email to mants may also make and submit address and electronic address changes from their home page in SCUBI.

(b)(c) Each claimant who is liable to DES for an overpayment of benefits, or is registered for work at a public employment office, shall notify DES by facsimile, via the internet, or by postal mail of any change of address within seven days after the effective date of the change.All notices of overpayment address changes shall be submitted to the Benefits Integrity Unit, ATTN:Attn: Overpayment Address Change by mail to Post Office Box 25903, Raleigh, NC 27611, facsimile to (919) 733-1369, or email to .

Authority G.S. 96-4; 20 C.F.R. 640.

04 NCAC 24A .0103ADDRESSES FOR NOTICE AND ELECTRONIC NOTICE

(a) In all transactions requiring notice by G.S. 96 or these Rules, DES shall provide notice to the party's a claimant or employer's last known address as reflected in its official records.

(b) Except as provided in Paragraph (a) of this Rule,Chapter,when DES shallmailsmaila notice of an initial claim to the employer at one of the following addresses:

(1)the address of the employer for which the claimant last worked;

(2)if the employer has more than one branch or division at different locations, the address of the branch or division for which the claimant last worked; or

(3)an address designated by the employer as reflected in DES's official records.

(c) Claimants may elect to receive communications from DES solely by electronic transmission as defined in 04 NCAC 24A .0105.

(1)A claimant who consents to receive communication by electronic transmission may withdraw consent at any time by providing DES with a written withdrawal of consent.

(2)Any communication that was sent to a claimant by electronic transmission before the withdrawal of consent shall be effective as an electronic transmission.

(3)Except as provided in Paragraph (f) of this Rule, withdrawal of consent to receive communication by electronic transmission shall become effective on the date that DES receives the written withdrawal of consent.

(d) A claimant who elects to receive communications by electronic transmission shall provide DES with a valid email address.

(1)DES shall validate each email address by sending a notification containing a hyperlink to the email address provided by the claimant. The email sent by DES shall require the claimant to click on the hyperlink in the email in order to navigate to SCUBI to complete validation.

(2)After a claimant validates the email address, DES shall provide all communication by electronic transmission, including determinations, requests for information, notices, and decisions. For each action taken on an account, DES shall notify each claimant by email that an action was taken, and shall direct the claimant to log into his or her SCUBI account.

(e) A claimant who elects to receive communication from DES by electronic transmission shall not receive communication from DES by mail, unless the communication transmitted to the claimant's email address is returned to DES as undeliverable.

(1)When an electronic communication is returned to DES as undeliverable, DES shall suspend communications by electronic transmission to the claimant's email address, and shall place an alert on the claimant's SCUBI home page.The alert shall notify the claimant:

(A)that electronic transmissions to his or her email address have been suspended;

(B)to contact the Customer Call Center to update his or her mailing and email addresses as provided in 04 NCAC 24A .0102; and

(C)that the claimant may elect to resume receiving communications by electronic transmissions.

(2)Upon suspension of electronic transmissions to the claimant, DES shall send all communications to the claimant by first class mail.

(3)A claimant who elected to receive communications by electronic transmissions from DES, and who desires to continue receiving electronic communications, but instead receives postal mail, shall contact the Customer Call Center by phone at (888) 737-0259 or facsimile at (919) 250-4315 to provide a valid email address, and notify DES that communications should be sent by electronic transmission.

(f) Except as otherwise provided in this Chapter, DES shall use the date and time of the electronic transmission to the email address provided by the claimant, or authorized agent, as the service date for purposes of calculating the time periods for correspondence, notices, deadlines, and filings. Time periods shall be determined by the date of electronic transmission if the communication is not received by the claimant as a result of an error or omission on the part of the claimant, or agent of the claimant.

Authority G.S. 96-4; 96-9.2; 96-14.1; 96-15; 96-40.

04 NCAC 24A .0104ADDRESSES FOR FILING CLAIMS, APPEALS, EXCEPTIONS, REQUESTS OR PROTESTS

(a) Claimants shall file a claim for unemployment insurance benefits by internet on DES's website, or by telephone.

(1)The telephone number for filing a new initial claim is (877) 841-9617.(888) 737-0259.

(2)Claimants with a social security number ending in an odd number shall file weekly certifications on Monday and Wednesday through Saturday by dialing (888) 372-3453.

(3)Claimants with a social security number ending in an even number shall file weekly certifications on Tuesday through Saturday by dialing (888) 372-3453.

(b) Appeals from a Determination by Adjudicator shall be filed with the Appeals Section by mail, facsimile, or email.

(1)The mailing address is Post Office Box 25903, Raleigh, North Carolina 27611.

(2)The facsimile number is (919) 733-1228.

(3)The email address is .

(4)Any questions regarding the contents of a Determination by Adjudicator shall be directed to the Adjudication Unit by telephone to (919) 707-1410, facsimile at (919) 733-1127, or email at espondence and appeals submitted by email outside the Southeast Consortium Unemployment Benefits Initiative (SCUBI) system shall not include social security numbers or employer account numbers.

(5)Appeals shall be filed by a party or a party's legal representative as defined in 04 NCAC 24A .0105 and shall contain the docket or issue identification number of the determination being appealed, the claimant's identification number, the names of the claimant and employer, the name of the individual filing the appeal, the official position of an individual filing the appeal on behalf of the party, and a telephone number.

(c) Appeals of a Non-Fraud Overpayment Determination shall be filed with the Benefits Integrity Unit by mail or facsimile.

(1)The mailing address is Post Office Box 25903, Raleigh, North Carolina 27611.

(2)The facsimile number is (919) 733-1369.

(3)Correspondence submitted by email outside the SCUBI system shall not include social security numbers or employer account numbers.

(4)Appeals shall be filed by a party or a party's legal representative as defined in 04 NCAC 24A .0105 and shall contain the docket or identification number of the determination being appealed, the claimant's identification number, the names of the claimant and employer, the name of the individual filing the appeal, the official position of an individual filing the appeal on behalf of the party, and a telephone number.

(3)(5)Any questions regarding the contents of a Non-Fraud Overpayment Determination shall be directed to the Benefits Integrity Unit by telephone to (919) 707-1338, facsimile at (919) 733-1369, or email at .

(d) Appeals of a Fraud Overpayment Determination shall be filed with the Benefits Integrity Unit by mail,mail or facsimile.

(1)The mailing address is Post Office Box 25903, Raleigh, North Carolina 27611.

(2)The facsimile number is (919) 733-1369.

(3)Correspondence submitted by email outside the SCUBI system shall not include social security numbers or employer account numbers.