WINFAS, Inc. v. Region P Human Development Agency

Court of Appeals of North Carolina

WINFAS, Inc. v. Region P Human Development Agency

308 S.E.2d 99, 64 N.C. App. 724, 1983 N.C. App. LEXIS 3352

CourtCourt of Appeals of North Carolina

DecidedNovember 1, 1983

Docket824DC1225

StatusPublished

This text of 308 S.E.2d 99 (WINFAS, Inc. v. Region P Human Development Agency) is published on Counsel Stack Legal Research, covering Court of Appeals of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

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WINFAS, Inc. v. Region P Human Development Agency, 308 S.E.2d 99, 64 N.C. App. 724, 1983 N.C. App. LEXIS 3352 (N.C. Ct. App. 1983).

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Opinion

WELLS, Judge.

North Carolina requires as a matter of public policy that public bodies conduct their business openly. G.S. § 143-318.9. “Public body” is defined in G.S. 143-318.10 as:

(b) . . . any authority, board, commission, committee, council, or other body of the State, or of one or more counties . . . that is composed of two or more members; and

*726 (1) Exercises or is authorized to exercise a legislative, policy-making, quasi-judicial, administrative, or advisory function; and

(2) Is established by . . . (iv) an ordinance, resolution, or other action of the governing board of one or more counties

Defendant contends that it does not fall within the statutory definition of a public body because it was established pursuant to the Nonprofit Corporation Act of G.S. §§ 55A-1 to -89.1.

Defendant was established by resolution of the Onslow County Board of Commissioners who appointed defendant’s initial board of directors and therefore falls squarely within the G.S. § 143-318.10(b)(2) definition of a public body. The later incorporation of defendant under the Nonprofit Corporation Act did not change its basic character or purpose or operation. The incorporation of defendant has not altered its existence as a public body. In The News and Observer Publishing Co. v. Wake County Hospital System, Inc., 55 N.C. App. 1, 284 S.E. 2d 542 (1981), pet. for disc. rev. den., 305 N.C. 302, 291 S.E. 2d 151 (1982), pet. cert. den., 459 U.S. ---, 103 S.Ct. 26, 74 L.Ed. 2d 42 (1982), this court held that where a county hospital had “undergone little more than a change of name through incorporation” then it continued to be an agency of the county. The same reasoning applies in this case. To hold otherwise would eviscerate the public policy of G.S. § 143-318.9 by allowing public bodies to hold secret meetings due to a superficial change in their legal form.

The judgment of the trial court is in all respects,

Affirmed.

Chief Judge VAUGHN and Judge JOHNSON concur.

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WELLS, Judge.

North Carolina requires as a matter of public policy that public bodies conduct their business openly. G.S. § 143-318.9. “Public body” is defined in G.S. 143-318.10 as:

(b) . . . any authority, board, commission, committee, council, or other body of the State, or of one or more counties . . . that is composed of two or more members; and

*726 (1) Exercises or is authorized to exercise a legislative, policy-making, quasi-judicial, administrative, or advisory function; and

(2) Is established by . . . (iv) an ordinance, resolution, or other action of the governing board of one or more counties

Defendant contends that it does not fall within the statutory definition of a public body because it was established pursuant to the Nonprofit Corporation Act of G.S. §§ 55A-1 to -89.1.

Defendant was established by resolution of the Onslow County Board of Commissioners who appointed defendant’s initial board of directors and therefore falls squarely within the G.S. § 143-318.10(b)(2) definition of a public body. The later incorporation of defendant under the Nonprofit Corporation Act did not change its basic character or purpose or operation. The incorporation of defendant has not altered its existence as a public body. In The News and Observer Publishing Co. v. Wake County Hospital System, Inc., 55 N.C. App. 1, 284 S.E. 2d 542 (1981), pet. for disc. rev. den., 305 N.C. 302, 291 S.E. 2d 151 (1982), pet. cert. den., 459 U.S. ---, 103 S.Ct. 26, 74 L.Ed. 2d 42 (1982), this court held that where a county hospital had “undergone little more than a change of name through incorporation” then it continued to be an agency of the county. The same reasoning applies in this case. To hold otherwise would eviscerate the public policy of G.S. § 143-318.9 by allowing public bodies to hold secret meetings due to a superficial change in their legal form.

The judgment of the trial court is in all respects,

Affirmed.

Chief Judge VAUGHN and Judge JOHNSON concur.

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308 S.E.2d 99, 64 N.C. App. 724, 1983 N.C. App. LEXIS 3352, Counsel Stack Legal Research, https://law.counselstack.com/opinion/winfas-inc-v-region-p-human-development-agency-ncctapp-1983.

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