A new bill filed by State Rep. Allen Chesser seeks to update the North Carolina Nonprofit Corporations Act to improve governance and compliance for charitable organizations, according to the North Carolina State House.
The bill, filed as HB 517 on March 25 during the 2025 regular session, was formally listed with the short title: ‘Modify Nonprofit Corp. Act/Charitable Org.’
The following is our breakdown, based on the actual bill text, and may include interpretation to clarify its provisions.
In essence, this bill introduces several modifications to the North Carolina Nonprofit Corporations Act, including changing standards related to mergers and sales of assets for charitable organizations, with specific approval processes involving the Attorney General and courts for certain mergers. A key feature allows annual report submissions to the Secretary of State in electronic form, aligning state nonprofit reporting requirements with federal standards for charitable organizations. Effective October 1, 2025, the bill permits the domestication of nonprofit corporations, allowing nonprofits to change their jurisdiction of incorporation under specified conditions. It also authorizes nonprofit corporations to convert into other entity forms, such as LLCs, and clarifies rules on the required number of directors and board committee formations. These changes aim to streamline nonprofit compliance and governance processes while maintaining oversight and transparency.
A related bill, SB 489, was also filed in the North Carolina Senate, introduced by Sen. Benton G. Sawrey on March 25, 2025.
Of the four sponsors of this bill, Chesser proposed the most bills (24) during the 2025 regular session.
Bills in North Carolina follow a multi-step process before becoming law. A lawmaker starts by filing a bill, which is assigned to a committee for review. The bill must be read three times in each chamber. If one chamber changes the bill after the other passes it, both must agree on the final version. Once both chambers approve the same bill, it goes to the governor, who has 10 days (or 30 if the legislature is not in session) to sign, veto, or let it become law without a signature.
You can read more about the bills and other measures here.
Chesser graduated from North Carolina Wesleyan University in 2019 with a BS.
Chesser, a Republican, was elected to the North Carolina State House in 2023 to represent the state’s 25th House district, replacing previous state representative James Gailliard.
| Authors | Bill Number | Date Filed | Title |
|---|---|---|---|
| Allen Chesser, Brandon Lofton, Heather H. Rhyne, and Kyle Hall | HB 517 | 03/25/2025 | Modify Nonprofit Corp. Act/Charitable Org. |
| Allen Chesser, Grant L. Campbell, MD, Jeffrey C. McNeely, and Tricia Ann Cotham | HB 468 | 03/20/2025 | Regulate Kratom Products. |
| Allen Chesser, Neal Jackson, Terry M. Brown Jr., and Tim Longest | HB 462 | 03/19/2025 | Personal Data Privacy/Social Media Safety. |
| Allen Chesser, Heather H. Rhyne, and Ray Pickett | HB 437 | 03/18/2025 | Establish Drug-Free Homeless Service Zones. |
| Allen Chesser, A. Reece Pyrtle, Jr., Charles W. Miller, and Cody Huneycutt | HB 450 | 03/18/2025 | Private Property Rights Act. |
| Allen Chesser, Jeff Zenger, John R. Bell, IV, and Mike Schietzelt | HB 402 | 03/13/2025 | Limit Rules With Substantial Financial Costs. |
| Allen Chesser, Erin Paré, Matthew Winslow, and Steve Tyson | HB 364 | 03/11/2025 | STIP Grant Anticipation Notes. |
| Allen Chesser, Heather H. Rhyne, Jake Johnson, and Mike Schietzelt | HB 372 | 03/11/2025 | Home-Based Business Fairness Act. |
| Allen Chesser, David Willis, Grant L. Campbell, MD, and Ray Pickett | HB 373 | 03/11/2025 | UNC Tuition Discounts for Certain Students. |
| Allen Chesser, Cody Huneycutt, Heather H. Rhyne, and Kyle Hall | HB 351 | 03/10/2025 | Recovery-Friendly Workplace Program/Funds. |
| Allen Chesser | HB 332 | 03/06/2025 | Nash/Rocky Mount District Occupancy Tax. |
| Allen Chesser, A. Reece Pyrtle, Jr., Charles W. Miller, and Jeff Zenger | HB 272 | 03/04/2025 | The Sergeant Mickey Hutchens Act. |
| Allen Chesser, Bill Ward, Brenden H. Jones, and Jarrod Lowery | HB 224 | 02/26/2025 | Strengthen Our Tribal Communities Act. |
| Allen Chesser, Charles Smith, Dennis Riddell, and Edward C. Goodwin | HB 227 | 02/26/2025 | U.S. & N.C. Flags/Made In USA. |
| Allen Chesser, Donnie Loftis, Grant L. Campbell, MD, and Mike Schietzelt | HB 118 | 02/13/2025 | Disabled Veterans Tax Relief Bill. |
| Allen Chesser, Brian Biggs, and Jarrod Lowery | HB 112 | 02/12/2025 | Increase Permissible Interstate Speed Limit. |
| Allen Chesser, Allen Buansi, Jarrod Lowery, and Terry M. Brown Jr. | HB 93 | 02/10/2025 | Constitutional Amendment/Repeal Literacy Test. |
| Allen Chesser, Edward C. Goodwin, Erin Paré, and Jennifer Balkcom | HB 94 | 02/10/2025 | Dis. Veteran Homestead Excl. Prequalification. |
| Allen Chesser, Dante Pittman, Grant L. Campbell, MD, and Kelly E. Hastings | HB 69 | 02/06/2025 | Military and Veterans Educational Promise Act. |
| Allen Chesser, Donny Lambeth, Erin Paré, and Kyle Hall | HB 46 | 02/04/2025 | Make Healthcare Affordable. |
| Allen Chesser, A. Reece Pyrtle, Jr., Charles W. Miller, and Tricia Ann Cotham | HB 50 | 02/04/2025 | LEO Special Separation Allowance Options. |
| Allen Chesser, Brenden H. Jones, Heather H. Rhyne, and Jay Adams | HB 35 | 02/03/2025 | Establish Military Appreciation Month. |
| Allen Chesser, A. Reece Pyrtle, Jr., Charles W. Miller, and Edward C. Goodwin | HB 38 | 02/03/2025 | Second Amendment Financial Privacy Act. |
| Allen Chesser, Erin Paré, Harry Warren, and John R. Bell, IV | HB 11 | 01/29/2025 | No Tax on Tips, Overtime, Bonus Pay. |
