title
Resolution Opposing House Bill 437
body
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Department: |
City Council |
Meeting Date: |
6/16/2026 |
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Contact Name: |
Mayor Bill Saffo |
Public Hearing: |
No |
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Contact Phone: |
910-341-7815 |
Advertising Date/Advertised By: |
N/A |
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Attachments: |
Attachment #1: Resolution |
PURPOSE:
The purpose of this resolution is to express City Council’s opposition to House Bill 437 in the 2026 session of the North Carolina General Assembly.
BACKGROUND:
HB 437 Drug-Free Zones/Unauthorized Public Camping is currently being considered in the North Carolina General Assembly and includes two sections.
Section one would:
• Increase the punishment for the offense of manufacture, sale, delivery, or possession with the intent to manufacture, sell, or deliver a controlled substance, if the offense occurs in a drug-free homeless service zone.
Section two would:
• Define "public camping or sleeping" as "lodging or residing overnight in a temporary outdoor habitation used as a dwelling or living space and evidenced by the erection of a tent or other temporary shelter, the presence of bedding or pillows, or the storage of personal belongings or lodging or residing overnight in an outdoor space without a tent or other temporary shelter." The term would not include (i) lodging or residing overnight in a motor vehicle that is registered, insured, and located in a place where it may be lawfully used or (ii) camping for recreational purposes on property designated for those purposes.
• Prohibit a local government from authorizing or otherwise allowing any person to regularly engage in public camping or sleeping on any public property.
• Permit, by majority vote of the local government's governing board, the designation of property owned by the local government to be used for a continuous period of no longer than one year for the purposes of public camping or sleeping. The local government would be required to establish and maintain minimum standards and procedures for the purposes of:
o Ensuring the safety and security of the designated property and the people lodging or residing on the property.
o Maintaining sanitation.
o Coordinating with the county health department to provide access to behavioral health services.
o Prohibiting illegal substance use and alcohol use.
• Provide that the local government's designation of property for camping or sleeping would not become effective until certified by DHHS. To obtain certification, the local government would be required to submit a request to the Secretary of DHHS, which shall include documentation proving all of the following:
o There are not sufficient beds open in homeless shelters in the local government.
o The designated property is not contiguous to property zoned for residential use by the local government.
o The designated property would not adversely and materially affect the property value or safety and security of other existing residential or commercial property in the local government and would not affect the safety of children.
o The local government has developed a plan to satisfy the required minimum standards and procedures.
• Require DHHS to certify the designated property within 45 days after the receipt of a complete submission from the local government. If DHHS takes no action, the designated property would be deemed certified on the forty-fifth day.
• Require that the local government publish the required minimum standards and procedures on the local government's website within 30 days after certification of the designated property.
• Provide that DHHS can inspect any designated property at any time and can provide notice to the local government recommending closure of the designated property requirements for public camping and sleeping on designated property are no longer satisfied. A local government would be required to publish any notice recommending closure on its website no later than 5 days after the notice.
• Provide that any resident or business owner of the unit, or the Attorney General, can bring a civil action against the local government to enjoin a violation of requirements for public camping or sleeping on designated property.
• Section two would become effective October 1, 2026.
As written, this bill has raised concerns and public opposition from groups including the North Carolina League of Municipalities, the NC Metro Mayors Coalition, the North Carolina Housing Coalition, and the NC Coalition to End Homelessness. Some stated concerns include:
§ The bill would allow residents and business owners to sue local governments that allow camping.
§ To remedy such lawsuits, municipalities may need to approve and maintain a location for homeless camps on municipal property, but this does not come with any additional funding for added policing or the mandated services in these designated areas.
o The recently announced $4 billion in HUD Continuum of Care funding is not a new pot of funds for this purpose. Complete applications for these funds must be submitted within the next few weeks, and any funding awarded will be determined through a competitive process that prioritizes housing-focused programs that meet rigorous HUD requirements. Applicant awards will be announced in December 2026, and funds will not reach communities until December 2027, at the earliest, more than 14 months after this bill would go into effect on October 1, 2026, if passed.
§ In many rural areas, there are limited or no homeless shelters available for the unhoused, and many cities have shelters that are near full or at capacity and cannot accommodate the unsheltered homeless remaining in public spaces.
§ Not a permanent solution and does not address larger issues in the community, such as affordable housing, substance abuse, and mental health services.
This legislation does not align with the following items from Wilmington’s 2026 Legislative Agenda:
• Oppose legislation that undermines local government authority and revenue generation, including planning, zoning, and management of assets and property.
• Support state housing program funding and the ability of communities to address local housing affordability challenges.
• Support infrastructure and mental health services to reduce homelessness.
budget
BUDGET IMPACT:
N/A
recommendation
RECOMMENDATION / ACTION REQUESTED:
Passage of the attached resolution is recommended by Mayor Saffo.