Enacts Article 36A, titled “Interstate Massage Compact” (Compact) to GS Chapter 90, as follows. States the purpose of the Compact and defines 25 terms, including adverse action (any administrative, civil, equitable, or criminal action permitted by a member state's laws which is imposed by a licensing authority or other regulatory body against a licensee), Commission (the Interstate Massage Compact Commission, the government agency whose membership consists of all member states of the Compact and that operates as an instrumentality of the member states), and remote state (any member state, other than the licensee’s home state).

Lists, in GS 90-637.3, ten requirements for a state to participate in the Compact, including (1) that it licenses and regulates the practice of massage therapy, (2) that it accepts passage of a national licensing examination as a criterion for massage therapy licensure in the state, (3) that it requires licensees satisfy educational requirements prior to being licensed for services, and (4) that it have a continuing competence requirement as a condition of renewal for licensure. Clarifies that a single-state license granted to a person not residing in a member state does not confer multistate privileges. Requires a multistate license to be recognized by each remote state in the Compact as an authorization to practice massage therapy there. Sets forth 10 requirements for a licensee to be granted a multistate license under the Compact in GS 90-637.4, including having completed at least 625 clock hours of massage therapy education or the substantial equivalent thereof, holding an active single-state license to practice massage therapy in their home state, submitting to a background check and not having been convicted of or otherwise been found guilty of any of the listed offenses, and not having had any adverse action on any occupational or professional license within two years prior to the date of the application. Directs that granting of a multistate license still subjects the licensee to the requirements of their home state but it also subjects the licensee to the jurisdiction of the licensing authority, the courts, and laws of the member state in which massage therapy services are provided. Provides for rules of construction in GS 90-637.5, specifying four ways in which the Compact does not limit the autonomy of a member state, but also requiring a member state to cooperate with the Commission and other member states as much as practicable. Directs active military members or their spouses to designate a home state where the individual has a current license to practice massage therapy in good standing under GS 90-637.7.

Provides for adverse actions against a licensee by their home state in GS 90-637.6. Allows any member state to investigate actual or alleged violations of the scope of practice laws in any other member state for a massage therapist that holds a multistate license. Grants a remote member state the authority to take five actions, including taking adverse action against a licensee’s authorization to practice, even in instances where the action is based on the factual findings of another member state. Deactivates a licensee’s authorization to practice in all member states if an adverse action is taken by the licensee’s home state against their multistate license. Directs that if adverse action against a licensee’s authorization to practice is taken by a remote state, that adverse action applies to all authorizations to practice in all remote states. Provides for joint investigations. Allows for a member state to accept a licensee's participation in an alternative program in lieu of adverse action, with suspension of their license during that time.

Establishes the Commission in GS 90-637.8. Provides for Commission membership; voting; public and nonpublic meetings; powers and duties; an executive committee; financing; recordkeeping; and member-qualified immunity, defense, and indemnification. Among the 24 powers and duties charged of the Committee, includes establishing a code of conduct and conflict-of-interest policies, establishing and electing an executive committee, and the acquisition and disposal of property. Sets forth nine powers and duties of the executive committee, including monitoring Compact compliance of member states and providing compliance reports to the Commission.

Enacts GS 90-637.9 requiring the Commission to establish a coordinated database and reporting system containing licensure, adverse action, and the reporting of the existence of investigative information, including current significant investigative information, on all licensed massage therapists as well as applicants denied a license in participating states. Designates information provided to a participating state from the database is an authenticated business record entitled to a hearsay exception in any relevant judicial, quasi-judicial, or administrative proceeding in a participating state when certified by the Commission or an agent thereof. Provides for Commission rulemaking procedures and effects in GS 90-637.10, including emergency rulemaking. 

Adds new GS 90-637.11, detailing oversight of the Compact by the executive and judicial branches in each participating state, dispute resolution procedures between member states, and Compact enforcement by the Commission. Provides for member state default grounds and procedures, member termination procedures, and dissolution. Provides for venue and available remedies in legal action against the Commission. Specifies that only a participating state can enforce the Compact against the Commission. Adds new GS 90-637.12, which provides for the Compact to become effective upon enactment in the seventh member state and withdrawal procedures by member states. Requires the Commission to review all participating state charters once the Compact becomes effective to ensure they are all in compliance with the model compact. Allows for a participating state to default if its compact is materially in conflict with the model compact. Deems the provisions of the Compact severable and advises on its construction and effect on other laws in GS 90-637.13.

Authorizes the North Carolina Board of Massage and Bodywork Therapy (Board) to enact rules necessary to implement the Compact.

Effective when at least seven states have enacted the Compact. Instructs the Board to report to the Revisor of Statutes when the Compact has been enacted as such. 

Instructs that all functions, powers, duties, and obligations vested in the North Carolina Center for Missing Persons (Center) in the Department of Public Safety (DPS) are transferred to, vested in, and consolidated within the State Highway Patrol (SHP) by a Type I transfer, as defined in GS 143A-6. Adds Part 4 to Article 17 of GS Chapter 143B (“Part 4”), concerning the Center. Recodifies the fourteen listed citations as Part 4, as specified. Makes conforming changes to GS 143B-1760 (establishing the Center), GS 143B-1762 (control of the Center), GS 143B-1763 (authorizing the commander of the SHP to adopt rules), GS 143B-1765 (dissemination of missing persons data by law enforcement), GS 143B-1766 (responsibilities of Center), GS 143B-1768 (release of information by the Center), GS 143B-1769 (provision of toll-free service), GS 143B-1770 (improper release of information), and GS 143B-1771 (NC AMBER Alert system).

Changes the name of the NC Missing Endangered System to the Silver Alert System in GS 143B-1772. Narrows its scope to cover only missing persons aged 65 or older believed to be suffering from a cognitive impairment that causes an irreversible deterioration of intellectual faculties that makes them unable to meet their own needs or to seek help without assistance. Requires the Center to now include procedures for use of the Wireless Emergency Alert (WEA) to disseminate the information as quickly as possible when a person has been reported missing to a law enforcement agency. Limits the duration of the alert to 90 days. Requires the NC Blue Alert System to include procedures for use of the WEA in GS 143B-1773.

Enacts GS 143B-1774, establishing the NC Missing Endangered Alert (MEA) to provide a statewide system for the rapid dissemination of information regarding a missing person, aged 64 or younger, or missing child who is believed to be suffering from dementia, Alzheimer's disease, or a cognitive impairment that causes an irreversible deterioration of intellectual faculties that makes them unable to meet their own needs or to seek help without assistance and that is not a risk to the general public. Requires the Center to issue rapid alerts, as described, when it receives a request that involves a missing person or child who has been missing for not more than 72 hours since the request was received. Requires the Center to develop guidelines and procedures for issuing a 90-day alerts for missing persons. Requires the Center to consult with the Department of Transportation (DOT) to develop a procedure the use of overhead permanent changeable message signs to provide information on the missing person or missing child meeting the criteria of this section when information is available that would enable motorists to assist in the recovery of the missing person or missing child.

Establishes the NC Ashanti Alert to provide a statewide system for the rapid dissemination of information regarding a missing person over 18 years of age that is suspected to have been abducted and there is both abductor and vehicle information available in GS 143B-1775. Requires the Center to issue rapid alerts, as described, when it receives a request that involves a missing person who has been missing for not more than 72 hours since the request was received. Requires the Center to develop guidelines and procedures for issuing 24-hour alerts for missing persons. Requires the Center to consult with DOT to develop a procedure the use of overhead permanent changeable message signs to provide information on the missing person or missing child meeting the criteria of this section when information is available that would enable motorists to assist in the recovery of the missing person or missing child.

Establishes the Center’s Missing – Weather Alert to provide a statewide system for the rapid dissemination of information regarding a missing person or child that is missing during times of extreme heat or cold and is not in a vehicle or immediately following a significant weather event. Requires the Center to issue rapid alerts, as described, when it receives a request that involves a missing person who has been missing for not more than 72 hours since the request was received. Requires the Center to develop guidelines and procedures for issuing 30-day alerts for missing persons.

Requires the SHP to adopt rules, or amendment to rules consistent with the act’s provisions. Authorizes the SHP to use the procedure set forth in GS 150B-21.1 (temporary rules procedures under the APA) to adopt or amend any rules.

Includes whereas clauses.

Enacts new GS 90-21.15B making the following applicable when a nurse acts at the discretion of a supervising health care provider during the course of health care treatment: (1) the nurse does not owe a separate duty of care to the patient, independent of the duty of care owed by the health care provider; (2) the nurse is not engaged in a collaborative process with joint responsibility as part of a health care team; (3) the primary duty of a nurse is to diligently execute the orders of a physician; and (4) the collaboration of a registered nurse with other supervising health care providers does not create an independent separate duty of care to the patient, unless the registered nurse acts independently of or departs from the supervision of a health care provider. Prohibits recovery from a nurse in a medical malpractice action on the sole grounds that the nurse owed a separate duty of care if the nurse was acting under the direction of a health care provider. Exempts nurses acting outside of the supervision of a health care provider.

Requires any electric public utility that serves at least 150,000 retail jurisdictional customers in this State as of January 1, 2025, that has established a rate schedule for seasonal or intermittent services in a portion of its service area, to file an application by September 1, 2025, for a rate case to offer that rate schedule for seasonal or intermittent service to all eligible customers throughout the state.

Part I.

Enacts GS 135-5.8 allowing members of the Teachers' and State Employees' Retirement System (TSERS) to elect or continue to receive any retirement allowance for which the member is eligible if: (1) the member is in service as a law enforcement officer, has reached 59.5 years old, and has not separated from service as a law enforcement officer with the employer under which the member will begin receiving the retirement allowance; or (2) the member is a retired law enforcement officer, had a bona fide separation of at least six months, returns to service as a law enforcement officer and continue to receive that retirement allowance. Requires members making an election under (1) to also make any elections and creditable service purchases required by state law at or prior to retirement at the time of the election, as specified. Bars receiving additional membership service for any employment while the member is receiving the retirement allowance. Directs that the employer, rather than the member, must make employee contributions to TSERS in an amount calculated as described once a member elects to receive and begins receiving the retirement allowance. Provides for reduction of the member's gross salary or wage paid as if the member was making the employee contribution. Disqualifies members making an election under the statute from participating in the Disability Income Plan and instead continues the retirement allowance elected if the member becomes mentally or physically incapacitated and unable to further perform their duties of employment. Disqualifies members making an election under the statute from eligibility for State contributions to the Supplemental Retirement Income Plan and requires that contributions cease upon election. Continues eligibility for benefits under the Public Safety Employees' Death Benefits Act (Article 12A, GS Chapter 143) upon election. Provides for instances of death or separation from employment of a member receiving the retirement allowance; the effect of changes to retirement allowance of beneficiaries; and the criteria and effect of revoking the election.

Adds Justice Officer to the defined terms set forth in GS 128-21, applicable to the Local Governmental Employees' Retirement System (LGERS), defined by statutory cross-reference to GS Chapter 17E. Enacts GS 128-27.1, mirroring the provisions enacted in new GS 135-5.8, to allow members of LGERS who are employed or retired law enforcement or justice officers to elect to receive any retirement allowance for which the member is otherwise eligible while continuing or returning to service; requires the member to have separated from service for no less than one month (instead of six as required under GS 135-5.8). Provides identical requirements and limitations, substituting appropriate cross-references where necessary to make the provisions applicable to LGERS members and benefits. 

Makes conforming changes to GS 135-3 (TSERS membership) and GS 128-24 (LGERS membership). Changes the statutory provisions referenced in the "Notwithstanding" clauses of current GS 135-3(b) and subdivision (5a), GS 128-24 (recodified as subsection (b)). Specifies that a bona fide separation occurs when a member has severed the employment relationship with the employers and the respective System's Board of Trustees has received all applicable termination notifications. Requires the employer and beneficiary to file original sworn affidavits with the respective Board that include two described attestations within 60 days from the date a beneficiary is reemployed with an employer to preserve the bona fide separation presumption. Makes technical changes and language gender neutral. 

Amends GS 143-166.41 and GS 143-166.42 governing separation allowances for law enforcement officers who are members of TSERS and LGERS. Except as otherwise described, replaces existing provisions to provide an annual special separation allowance for State and local law enforcement officers to begin the month the officer either retires on a basic service retirement or elects to begin receiving the retirement allowance while still in service pursuant to new GS 135-5.8 or GS 128-27. Sets forth four qualifying criteria for the allowance, including that the officer has completed 30 or more years of creditable service or is 55 or older and has completed five or more years of creditable service. Includes four defined terms. Establishes a formula to calculate the allowance amount and four events which trigger cessation of allowance payments. Maintains existing provisions of each statute relating to the impact of payments on other benefits and actions, eligibility determinations, and responsibility for payments, and for GS 143-166.41, the provision regarding the transfer of funds. Adds a new requirement for allowances to be paid in equal installments on the payroll frequency used by the employer. Adds captions to the statutes' subsections. 

Amends GS 143-166.84 regarding eligibility for the Sheriffs' Supplemental Pension, Article 12H. Adds a new subsection expanding eligibility to county sheriffs who have completed 10 years of eligible service as a sheriff, are at least 55 or have attained at least 30 years of creditable service regardless of age, and have elected to receive a retirement allowance while in service under new GS 128-27.1 and not revoked that election. Directs that monthly payments for sheriffs eligible under the new provision begin with the month in which the officer elects to begin receiving the retirement allowance under new GS 128-27.1. Makes conforming and clarifying changes. 

Amends GS 143-166.85 regarding supplemental pension benefits under Article 12H. Adds a new subsection directing a sheriff who is still in service and entitled to receive a supplemental pension benefit to receive an annual pension benefit, payable in monthly installments. Details calculation of the benefit. Excepts from the events mandating the cessation of benefits pensioners reemployed as a sheriff or another public safety position under state law or who have elected to receive distributions while in service under new GS 128-27. Adds revocation of a pensioner's election to receive a retirement allowance under new GS 128-27.1 to the events mandating cessation of benefits, and provides for benefits upon a sheriff's later subsequent retirement. Makes technical and clarifying changes.

Effective October 1, 2025.

Part II.

Makes conforming changes to GS 135-103 (Disability Income Plan eligibility) and GS 143-166.60 (statutory cross-references to definitions).

Repeals GS 143-166.81(a), defining the scope of Article 12H to retired county sheriffs.

Amends GS 143-166.30, replacing eligibility provisions of the Supplemental Retirement Income Plan (Plan) to now encompass all law enforcement officers employed by the State as provided by GS Chapter 135, Article 5 (governing the Plan). Eliminates directives to the Board of Trustees' administration of the Plan. Defines "Plan". Allows Plan participants that have elected to receive a retirement allowance under new GS 135-5.8 to transfer eligible accumulated contributions to TSERS and receive a special retirement allowance based on their accumulated account balance at the date of transfer. No longer specifies that State contributions to the Plan under the statute are in addition to contributions on account of court assessments provided by the statute. Adds that State contributions cease upon an officer electing to receive a retirement allowance under new GS 135-5.8(a)(1). Makes technical changes.

Amends GS 143-166.50, regarding the Supplemental Income Plan for local law enforcement officers (Plan for local officers). Deletes outdated language. Adds that employer contributions to the Plan for local officers cease upon the officer's election to receive a retirement allowance under new GS 128-27.1. Allows local officer Plan participants that have elected to receive a retirement allowance under new GS 128-27.1 to transfer eligible accumulated contributions to LGERS and receive a special retirement allowance based on their accumulated account balance at the date of transfer. 

Effective October 1, 2025.

Part III.

Appropriates $10 million from the General Fund in recurring funds to the Department of State Treasurer for each year of 2025-27 to implement the act. Effective July 1, 2025.

Part IV.

Includes a severability clause. Sunsets any provision of Part I when the IRS notifies the State Treasurer is noncompliant with federal law at 30 days from receipt of a notification. Requires the State Treasurer to notify the Revisor of Statutes of any IRS notification requiring expiration.

Sunsets specified sections and subsections of GS Chapters 135, 128, and 143, as enacted by the act, effective December 31, 2029, as follows:

• GS 135-5.8;
• GS 135-3(b1);
• GS 128-27.1;
• GS 128-24(b2);
• GS 143-166.41(a)(2), (b2)(2), (c)(3)c., (c)(4);
• GS 143-166.42 (a)(2), (b1)(2), (c)(3)c., (c)(4);
• GS 143-166.85 (a3) and (b2);
• GS 143-166.85(a1), (d)(1)b., (d)(2); and
• GS 135-103(c).

Allows a law enforcement officer in service and in receipt of a retirement allowance under GS 135-5.8 or GS 128-27.1 on the date of the expiration of the statutes above, to continue that service and to receive the retirement allowance. Makes the provisions of GS 135-3 and GS 128-24 apply to any subsequent return to work.

Repeals GS 105-164.14(b) (pertaining to certain semiannual refunds due to certain nonprofit entities).

Enacts new subdivision GS 105-164.13(52a) (pertaining to exemptions from retail sales and use taxes) as follows. Exempts the following tangible personal property, digital property, and services for use in carrying on the work of the following entities, provided the entity is not owned or controlled by the State, from the retail sales and use taxes:

• Hospitals not operated for profit, including hospitals and medical accommodations operated by an authority or other public hospital described in Article 2 of GS Chapter 131E.
• An organization that is exempt from income tax under section 501(c)(3) of the IRS Code and not classified in the National Taxonomy of Exempt Entities major group areas of (1) Community Improvement and Capacity Building, (2) Public and Societal Benefit, or (3) Mutual and Membership Benefit.
• Volunteer fire departments and volunteer emergency medical services squads that are (1) exempt from income tax under the IRS Code; (2) financially accountable to a city as defined in GS 160A-1 (pertaining to cities and towns), a county, or a group of cities and counties; or (3) both.
• An organization that is a single member LLC that is disregarded for income tax purposes and satisfies all of the following conditions: (1) the owner of the LLC is an organization that is exempt from income tax under section 501(c)(3) of the IRS Code, (2) the LLC is a nonprofit entity that would be eligible for an exemption under section 501(c)(3) of the IRS Code if it were not disregarded for income tax purposes, and (3) the LLC is not an organization that would be properly classified in any of the major group areas of the National Taxonomy of Exempt Entities listed above.
• Qualified retirement facilities whose property is excluded from property tax under State tax law on qualified retirement facilities.
• A university-affiliated nonprofit organization that procures, designs, constructs, or provides facilities to, or for use by, a constituent institution of The University of North Carolina. Specifies that for purposes of this sub-subdivision, a nonprofit organization includes an entity exempt from taxation as a disregarded entity of the nonprofit organization.
• Over-the-counter drugs purchased for use in carrying out the work of a hospital not listed above.

Specifies that the exemption includes indirect sales to a nonprofit entity of digital property and tangible personal property purchased by a real property contractor that becomes a part of or permanently installed or applied to any building or structure that is owned or leased by the nonprofit entity and is being erected, altered, or repaired for use by the nonprofit entity for carrying on its nonprofit activities. Directs that a sale to fulfill a real property contract with an entity that holds an exemption certificate is exempt to the same extent as if purchased directly by the entity that holds the exemption certificate. Sets forth certificate requirements for a real property contractor that purchases an item allowed an exemption under GS 105-164.13(52a). Directs a real property contractor who pays local sales and use taxes on property qualifying for an exemption under this subdivision on behalf of an entity must give the entity for whose project the property was purchased a signed statement containing (1) the date the property was purchased; (2) the type of property purchased; (3) the project for which the property was used; (4) if the property was purchased in this State, the county in which it was purchased; and (5) if the property was not purchased in this State, the county in which the property was used. If the property was purchased in this State, the real property contractor must attach a copy of the sales or purchase receipt to the statement.

Clarifies that the exemption set forth above does not apply to (1) purchases of electricity, telecommunications service, ancillary service, piped natural gas, video programming, a prepaid meal plan, aviation gasoline and jet fuel, and spirituous liquor or (2) sales and use tax liability indirectly paid by a nonprofit entity through reimbursement to an authorized person of the entity for tax incurred by the person on an item or transaction subject to State tax law.

Sets an aggregate annual exemption amount allowed to an entity under this subdivision for a fiscal year at no more than $31.7 million in tax.  

Enacts GS 105-164.29C detailing a process for a nonprofit entity to apply for the exemption set forth above, including tax liability for failure to use the purchased goods. Makes conforming changes to GS 105-467(b) (pertaining to exemptions and refunds) to refer to the exemption under new GS 105-164.13(52a).

Amends GS 105-236(a)(5a) (pertaining to penalties for misuse of an exemption certificate or affidavit of capital improvement) to specify that misuse under the subdivision includes improper use of a certificate of exemption issued to a nonprofit entity for the sales and use tax exemption set forth above.

Effective October 1, 2025, and applies to sales and purchases made on or after that date.

Specifies that act does not affect the rights or liabilities of the State, a taxpayer, or another person arising under a statute amended or repealed by this act before the effective date of its amendment or repeal, nor does it affect the right to any refund or credit of a tax that accrued under the amended or repealed statute before the effective date of its amendment or repeal.

Subject to approval by voters at the statewide election on November 3, 2026, amends Section 11(1) of Article II of the North Carolina Constitution limiting session lengths of the General Assembly as follows. In odd-numbered years, the General Assembly can remain in regular session for no more than 90 legislative days. If the General Assembly meets in regular session in even-numbered years, the General Assembly can only remain in session for no more than 45 legislative days. Excludes reconvened/veto and special sessions from these limits. Instructs that no valid action, other than a resolution of adjournment may be taken by the General Assembly in regular session after the time limits have expired. If approved, effective upon certification by the State Board of Elections.

Enacts GS 93B-15.3, directing the occupational licensing board or a State agency licensing board except those overseeing chiropractors, dentists, optometrists, physicians, podiatrists, veterinarians and attorney licensure, to issue a license, certification, or registration to any applicant who establishes residence in this State and satisfies nine listed conditions, including that the applicant is currently licensed, certified, or registered in Georgia, South Carolina, Tennessee, Virginia, or West Virginia in the discipline applied for in this State at the same or substantially equivalent practice level, as determined by the occupational licensing board or State agency licensing board. Requires the relevant State board to suspend an application process if a disciplinary proceeding is pending in another state until it’s resolved. Requires the relevant State board to publish its requirements for licensure, as specified, on its website. Clarifies GS 93B-15.3 effect on other agreements and alternate pathways to licensure. Provides that the scope of the license, certification, or registration authorizes practicing in the State with the same rights and privileges as an individual whose home state is North Carolina. Requires each occupational board and State agency licensing board subject to GS 93B-15.3 to submit an annual report to the Secretary of State, the Attorney General, and the specified NCGA committee on the three specified matters by October 31, beginning on October 31, 2026. Effective October 1, 2025, and applies to applications for licensure, certification, or registration received on or after that date.

Section 1

Amends GS 120-36.7, enacting a new subsection to require a fiscal note be prepared by the Fiscal Research Division and attached to every bill and resolution introduced in the NCGA that proposes a change that could cause a net increase or decrease in the cost of constructing, purchasing, owning, or selling a single-family residence. Requires the fiscal note to identify and estimate all anticipated effects on costs for the first five years that the proposed change would be in effect. Details required bases for the estimates. Provides for instances where the Fiscal Research Division determines no estimate is possible. Prohibits including comments on the merits but allows for noting technical and mechanical defects. Describes the procedure for requesting a fiscal note, the timeline within which the note must be prepared and transmitted, and its attachment to the bill. Makes the requirements applicable to bills which are reported favorably by a committee with an amendment that proposes a change covered by the subsection.

Enacts GS 159-42.2, establishing a similar requirement applicable to governing bodies of local governments. Requires governing bodies of cities and counties to have a fiscal note prepared by their planning department (or another department designated by the body) and submitted to the body at least five days prior to a meeting where an ordinance is to be introduced that would cause a net increase or decrease in the cost of constructing, purchasing, owning, or selling a single-family residence. Requires the fiscal note be made available to the public at the meeting. Defines "introduced". Allows the department preparing the fiscal note to consult with relevant specified trade organizations. Requires the fiscal note to identify and estimate all anticipated effects on costs for the first five years that the proposed change would be in effect. Details required bases for the estimates. Provides for instances where the department determines no estimate is possible. Prohibits including comments on the merits but allows for noting technical and mechanical defects. Creates a cause of action for residents against a governing body for noncompliance. Authorizes a court to order that a fiscal note be prepared and prohibits a court from determining the sufficiency of a fiscal note.

Applies to legislation and ordinances introduced for consideration on or after July 1, 2025.

Section 2

Amends GS 160D-101, repealing the provision specifying that GS Chapter 160D (Planning and Zoning) does not impact local governments' scope of authority for planning and development regulation authorized by state law in other GS Chapters. Instead, enacts a new subsection barring local governments from exercising planning, zoning, subdivision, or development regulation authority beyond that expressly authorized by GS Chapter 160D. Prohibits local governments from enacting or enforcing more restrictive planning, zoning, subdivision or development regulations standards, limitations, or requirements than those expressly provided by State law or rule governing a particular subject matter, if any, except for regulations pertaining to floodplain management. Effective January 1, 2026. Deems void any noncompliant ordinance in effect or subsequently adopted on or after that date.

Section 3

Amends GS 160D-108.1 regarding site-specific vesting plans based on an approval required by a local government regulation. Now deems that a duration of the underlying approval less than five years (was two years) does not affect the duration of the site-specific vesting plan. Extends the duration of vested rights for site-specific vesting plans from two to five years. Now allows a local government to provide for rights to be vested for a period exceeding five years and up to eight years (was two years and up to five years). Changes language to refer to land development regulation rather than zoning action. Makes further clarifying and technical changes. 

Section 4

Amends GS 160D-109 to bar members of local government governing boards and appointed boards from participating in or voting on any legislative decision (or, for appointed board members, any advisory decision) regarding a development regulation adopted under the Chapter where the member has a fixed opinion prior to the hearing on the matter that is not susceptible to change, or the member has undisclosed ex parte communication about the matter. Makes organizational and clarifying changes.

Amends GS 160D-605 regarding the required statement governing boards must approve when adopting or rejecting any zoning text or map amendment describing whether its action is consistent or inconsistent with an adopted comprehensive or land-use plan. Makes the plan consistency statement subject to judicial review (currently exempt from judicial review).

Section 5

Makes organizational changes to GS 160D-203 regarding split jurisdiction. Adds a new subsection to direct planning and development regulation jurisdiction over parcels that lie within the jurisdiction of more than one local government as follows. Specifies that:

• if only one local government has the ability to provide water and sewer services to the parcel at the time a site plan is submitted, that local government has jurisdiction over the entire parcel; 
• if all of the local governments have the ability to provide either water or sewer services, but not both, at the time the site plan is submitted, the owner can designate which local government's regulations will apply to the parcel; and
• if all or none of the local governments have the ability to provide water and sewer services at the time the site plan is submitted, the local government where the majority of the parcel is located has jurisdiction over the entire parcel.

Section 6

Amends GS 160D-402, authorizing governing boards to set fees for the support, administration, and implementation of programs authorized by GS Chapter 60, to specify that such fees cannot exceed the amount reasonably required for those purposes (previously, authorized boards to fix reasonable fees).

Section 7

Amends GS 160D-403 to require that approvals concerning an application for a development project that is a permitted use in the zoning district where the project is located be made by the city's administrative staff if the city has a population of at least 125,000 people.

Section 8

Enacts GS 160D-707 (concerning applications for amendment of a zoning map or zoning regulations) and amends GS 160D-403 (concerning applications for development approval), establishing a 14-day period within which a local government or their designated staff must determine whether an application for amendment of a zoning map or zoning regulations, or development approval, is complete and notify the applicant of the application's completeness or deficiencies. Establishes a second 14-day period within which a determination of completeness must be made for amended applications or supplemental information submitted to cure identified deficiencies. Requires the local government or their designated staff to issue a receipt letter or electronic response upon the date the application is deemed complete, starting a 90-calendar day review period within which the application must be approved or denied. Tolls the review period at an applicant's request of a continuance. Permits extension of the review period up to six months only by agreement with the applicant and due to circumstances beyond the control of local government. Deems failure to act within the review period to constitute approval of the application, requiring written approval be issued upon demand by the applicant.

Section 9

Amends GS 160D-702 regarding local government authority to adopt zoning regulations. Regarding the general prohibition against applying any regulations relating to the building design elements adopted under the Chapter to any structures subject to regulation under the Residential Code, now prohibits applying these prohibited regulations to any zoning district or conditional district, without exception (current law allows property owners to voluntarily consent to application in the course of seeking and obtaining a zoning amendment or a zoning, subdivision, or development approval). Modifies and adds to the prohibited scope of zoning and development regulations (regulations) as follows. Prohibits regulations from setting a minimum width, length, or square footage (was square footage only) of any structures subject to the Residential Code. Prohibits establishing or requiring parking or parking space requirements or allocations except pursuant to the Americans with Disabilities Act (ADA) (replacing the prohibition against requiring a parking space to be larger than 9 feet wide by 20 feet long, with exceptions for handicap, parallel, or diagonal parking spaces). Specifies that the parking space prohibition applies to parking space sizes, parking spaces required for a particular development and their location and configuration within a particular development. Adds a new prohibition against setting a minimum width, length, or square footage for driveways within a development, unless the driveway abuts a public road, as defined, or pursuant to specified state law. Specifies that the prohibition does not impact the Department of Transportation's (DOT) authority to regulate driveways adjacent to State roads. Adds a new prohibition against setting design standards for roads with a development in excess of those required by DOT, with an exception for a city that accepts ownership and maintenance responsibility for the road prior to or in conjunction with site plan approval, subject to confirmation of conformity requirements. Adds a new prohibition against requiring the installation of sidewalks or improvement of existing sidewalks for any commercial or school property, with two described exceptions, including that the sidewalk is connected to an existing sidewalk. Adds a new prohibition against establishing a setback or buffer years requirements for a multifamily development that exceeds 15 units per acre, limited to cities with a population of at least 125,000. 

Section 10

Amends GS 160D-102 to define dwelling unit to mean a single unit providing complete, independent living facilities for one or more persons, including permanent provisions for living, sleeping, eating, cooking, and sanitation. 

Amends GS 160D-703, adding a new requirement for local governments to classify residential zoning districts based on the number of dwelling units allowed per acre and prohibits classification based on the minimum lot size allowed. Enacted as new subsection (a2), establishes  siting uses statutorily permitted by right in areas zoned for residential use in a county, based on county population, ranging from no fewer than four dwelling units per acre for counties with a population of 49,999 or less, and no fewer than six dwelling units per acre for counties with a population of 275,000 or more. Enacted as new subsection (a3), establishes siting uses statutorily permitted by right in areas zoned for residential use in a city, based on city population, with no fewer than four dwelling units per acre for cities with a population of 19,999 or less, and no fewer than six dwelling units (which may be met by duplexes, triplexes, and quadruplexes permitted by right) per acre for cities with population of 125,000 or more. Adds statutory uses of right for areas zoned for non-agricultural commercial, business, or industrial use in a city with a population of 125,000 or more for duplexes, triplexes, quadruplexes, and multifamily structure with more than four residential dwelling units, with a maximum height restriction as specified. Deems the statutory uses and structure of right for described for cities with a population of 125,000 or more exempt from local design standards (unless adopted as a condition of participation in the National Flood Insurance Program) or landscape buffering regulations. Deems new subsections (a2) and (a3) applicable to all structure subject to the Residential Code regardless of whether the structures are located on multiple lots or a single lot; excludes land used for a bona fide farm purpose or open space land purpose from the scope of new subsections (a2) and (a3). Regarding conditional districts, prohibits local governments from: (1) requiring, enforcing, or incorporating into the zoning regulations, or requiring as a condition of approval of any site plan, development agreement, conditional zoning permit, or any other instrument any condition, requirement, or deed restriction not specifically authorized by law, or any condition or requirement that courts have held to be unenforceable if imposed directly by the local government; or (2) accepting any offer by the petitioner to consent to any condition not specifically authorized by law, including listed conditions and standards (current law prohibited conditions or requirements not authorized by otherwise applicable law unless the petitioner consented in writing). Defines "acre".

Effective January 1, 2026. Deems void any inconsistent local government ordinance in effect on or after that date.

Section 11

Amends GS 160D-803 to require (was permit) subdivision regulations to provide that final decisions on preliminary plats and final plats are administrative and made by a staff person or committee comprised entirely of staff persons (current law permits the decisions to be made by the governing board, the governing board on recommendation of a designated body, or a designated planning board, technical review committee of local government staff, or other designated body or staff person). Eliminates language referencing quasi-judicial decisions. Makes conforming changes.

Section 12

Applicable to cities with a population of at least 125,000 people, enacts GS 160D-974 to mandate cities to allow small housing (appears to intend "tiny houses") in areas zoned for residential or mixed-use residential, including those that allow for the development of detached single-family dwellings. Provides a savings clause for private covenants or other contractual agreements among property owners. Excludes areas designated as a local historic district unless approved by the local historic preservation authority. Authorizes a city to require a new septic system or upgrade an existing system if determined that the existing system in incapable of handling extra capacity. Defines "tiny house".

Applicable to cities with a population of at least 125,000 or more, enacts GS 160D-975 to mandate cities to allow the development of at least one accessory dwelling unit, conforming to the Residential Code, for each detached single-family dwelling that is greater than 600 square feet, in areas zoned for residential use that allow for development of detached single-family dwellings. Allows the accessory building to be built or sited concurrently with or after the primary dwelling. Specifies that the statute does not prohibit permitting accessory dwelling units in any area not otherwise required by the statute. Defines "accessory dwelling unit". Lists three requirements from which development and permitting of an accessory dwelling unit are excepted from, including owner-occupancy requirements. Lists prohibitions for cities in connection with permitting accessory dwelling units, including prohibiting connection of the accessory dwelling unit to existing utilities serving the primary dwelling unit and charging fees that exceed the amount charged for single-family dwelling units similar in nature (other than building permit fees). Authorizes cities to regulate accessory dwelling units so long as the regulations do not act to discourage their development or siting through unreasonable costs or delay. Provides a savings clause for private covenants or other contractual agreements among property owners. Authorizes cities to impose a minimum setback for accessory dwelling units of the lesser of five feet or the setback minimum imposes generally upon lots in the same zoning classification. 

Section 13

Amends GS 160D-944, adding new criteria for the designation of a historic district. Now requires that 75% of the property owners in the proposed district sign a petition requesting designation of the district. Adds a new requirement for the governing board of the local government to unanimously approve the adoption of the district. 

Section 14

Amends GS 160D-1110 to prohibit local governments from requiring more than a shell permit, defined as a permit that allows for the structural construction of a building but does not result in the issuance of a certificate of occupancy, for the construction of a multifamily development project. Directs local governments to issue certificates of occupancy for individual units in a multifamily development project permitted under a shell permit as units meet the criteria for issuance, upon request of the permittee.

Section 15

Amends GS 160D-1403.1, allowing for persons with standing to bring a claim to challenge the enforceability, validity, or effect of a local land development regulation or decision (limited to local land development regulation under existing law). Expands the possible claims to include that the ordinance is arbitrary or capricious, or that the decision of an administrative staff member, local government decision-making board or governing board, or local government official made pursuant to the authority of GS 160D-702 or GS 160D-703 (regarding zoning regulations and zoning districts), is ultra vires, preempted, in excess of tis statutory authority, made upon unlawful procedure, made in error of law, arbitrary and capricious, or an abuse of discretion. Adds to the criteria for standing to bring a claim to allow a claim be brought by an association, organization, society, or entity whose membership is comprised of any individual or entity identified in two existing criteria for standing relating to development permit applicants. Defines "local government official".

Section 16

Enacts GS 160D-1403.3, creating a cause of action for any person, organization, society, or entity for enforcement of the Chapter's provisions and recovery of damages, costs, and disbursements, and receipt of other equitable relief. 

Section 17

Amends GS 160D-110, excluding the Chapter from the scope of GS 153A-4 and GS 160A-4 (directing for the broad construction of the Chapters and local acts).

Enacts GS 160D-1406 to allow recovery of actual damages resulting from any development decision, or lack thereof, in a civil action instituted by any person with standing under GS 160D-1402(c) (standing for appeals of quasi-judicial decisions of decision-making boards when the appeal is in the nature of certiorari). Makes recovery available for decision from any member of the decision-making body who (1) engaged in impermissible violations of due process; (2) considered evidence or other material gained outside of an evidentiary hearing when making a quasi-judicial decision; or (3) acted maliciously, arbitrarily, and capriciously, or unlawfully. Permits the award of punitive damages. Authorizes the court to compel disclosure of information necessary to a proper administration of justice, subject to the common law of legislative privilege and immunity. Provides for the award of attorneys' fees and costs. 

Amends GS 6-21.7 to require courts to award reasonable attorneys' fees and costs to a party who successfully challenged acts of the member of a decision-making board under new GS 160D-1406. Makes organizational and clarifying changes. 

Amends GS 153A-121 (concerning counties) and GS 160A-174 (concerning cities), specifying that the statutes, which grant counties' and cities' general ordinance-making power, do not apply to the adoption or enforcement of development regulations under GS Chapter 160D.

Section 18

Amends GS 136-102.6, adding a new subsection to mandate that the Division of Highways of DOT accept a performance guarantee as provided under GS 160D-804.1 to ensure completion of streets that are required by a municipal or county subdivision control ordinance. Requires issuance of the certificate of approval to the municipality or county upon receipt of the performance guarantee. Makes clarifying changes. 

Section 19

Amends GS 160A-37 to generally prohibit cities from regulating the size, location, direction of traffic flow, and manner of construction of driveway connections into any street or alley unless expressly permitted by GS Chapter 160D (current law grants cities the express authority to regulate these matters by ordinance). For permitted ordinances under GS Chapter 160D, requires that the city have shown through substantial evidence (1) the need for the improvements is reasonably attributable to the traffic using the driveway and (2) the improvements serve the traffic of the driveway. Defines "substantial evidence".

Section 20

Enacts GS 162A-901 to require public water systems, public sewer systems, or public water and sewer systems (systems) serving the site for a proposed development to respond within 30 days of receiving a completed application for service commitment as to whether the system has capacity to serve the proposed development. Defines "proposed development". Limits reservation of capacity to applicants with an active application for development approval. Mandates reservation of capacity for the proposed development for 24 months from the date of the completed application for service commitment unless the system does not have capacity or is under a moratorium precluding expansion, as specified. Requires systems to prepare a plan for expansion of capacity within 90 days of denial of a reservation application that includes required specified components. Prohibits denial of access to the system by the system or a local government upon the applicant incurring costs associated with the proposed development in reliance on the reservation. Provides for extension of the reservation of capacity until construction is completed so long as the development application remains active or the work has commenced and continued under a valid development permit. Directs systems to notify the applicant that the reservation will expire within 90 days of the initial 24-month period. 

Requires that, for applicants that, on or after July 1, 2020, received a service commitment from a system confirming availability of capacity for the applicant's development project, but whose capacity needs have not been provided, systems reserve, allocate, and provide those applicants with the capacity assured in the service commitment in the chronological order that the service commitment was issued before the system reserves, allocates, or provides capacity to another applicant.

Section 21

Enacts GS 130A-343.5 allowing property owners to: (1) install a wastewater system to serve any undeveloped or unimproved property located so as to be served by a public or community wastewater system; and (2) install a wastewater system on developed or unimproved property located so as to be served by a public or community wastewater system, if the public or community wastewater system has not yet installed sewer lines directly available to the property or otherwise cannot provide wastewater service to the property at the time the owner desires wastewater service. Prohibits requiring the property owner to connect to the public or community wastewater system so long as the wastewater system installed pursuant to Article 11 (Wastewater Systems) remains compliant and in use. Permits owners to opt-in to connection. Provides for construction of the section and lists three instances in which the section does not apply and a public or community wastewater system can mandate connection, including when the public authority or unit of government operating the system is being assisted by the Local Government Commission.

Section 22

Includes a severability clause. 

Defines emergency responder radio coverage requirements (Requirements) to mean those requirements for in-building emergency responder communications enhancement systems specified under Section 510 of the North Carolina Fire Prevention Code (Code). Exempts four structures from the Requirements, including apartments and transients public lodging establishments that meet certain height or story requirements with the requisite egress. Directs that an emergency responder radio coverage system installed prior to the effective date of the act in a building or structure that meets the exemption criteria is not be required to be removed and allows those systems to be deactivated. Requires the Building Code Council to adopt rules to amend the Code in line with the provisions of the Requirements. Applies the APA’s effective date provisions triggered when 10 or more written objections are received to the rule (GS 150B-21.3). Specifies that the provisions of the APA requiring review by the rules commission do not apply. Until permanent rules are adopted as discussed above, instructs the Council and local governments enforcing the Code not to enforce the emergency responder radio coverage requirements against buildings and structures that meet the exemption criteria and instead allow for deactivation of such systems instead.

Section 1.

Adds Part 1 “Depositions in Criminal Actions” to Article 10 of GS Chapter 8, consisting of existing GS 8-74 through new GS 8-74.1 to 8-74.10, as follows. Authorizes, in GS 8-74.1 for depositions through court order of a material witness to be taken by the State, upon successful motion by the State and notice to the defendant. Allows for court deposition orders to include production of evidence not privileged. Instructs a court not to order the deposition unless it appears to the court that the testimony of the witness is material and at least one of six factors apply, including the witness is in imminent danger of death or great bodily harm. Provides for content for the motion, court with jurisdiction over the motion, contents of court order, designation of a judge to preside over the deposition upon motion of either party, and for the court to hear the motion ex parte if the defendant fails to appear unless it determines that the defendant’s absence was not willful and should be excused for good cause. Provides for notices of deposition to the defendant in GS 8-74.2, along with their right to be present at the deposition. Provides for procedures for when the witness to be deposed is a child or an individual with an intellectual or developmental disability. Requires the defendant to have counsel at any such deposition, unless the defendant elects to proceed without counsel. Requires the State to pay for costs of the deposition. Instructs that the deposition be taken as a trial deposition if a judge is presiding over the proceeding. Requires that the State or the defendant make available to each other, for examination and use at the deposition, any statement of the witness being deposed which is in the possession of the State or the defendant and which would be required to be made available if the witness were testifying at the trial. Specifies that the deposition may be offered as evidence at trial insofar as permitted by the rules of evidence and that it may be also used for impeachment. Specifies that a witness is not unavailable if the exemption, refusal to testify, claim of lack of memory, inability, or absence of such witness is due to the procurement or wrongdoing of the party offering the deposition at the hearing or trial for the purpose of preventing the witness from attending or testifying. Allows for objections to the deposition or a part thereof in the same manner as civil proceedings. Provides for recording of the deposition. Allows the parties to agree to take a deposition without the State needing to make a motion under GS 8-74.1. Articulates the General Assembly’s intent that depositions only be taken in criminal proceedings in exceptional circumstances, as described.

Adds a Part 2, “Depositions in Civil Actions,” consisting of GS 8-76 through the rest of Article 10.  

Effective December 1, 2025.

Section 2.

Enacts GS 114-66, providing for rights of sexual assault victims related to the sexual assault evidence collection kit (if so used), as follows:

(1)          The right to information, upon request, from the appropriate person or entity of the testing status and location of the sexual assault evidence collection kit.

(2)          The right to receive written notification, upon request, from the appropriate person or entity of the intended destruction or disposal of the kit at least 60 days before the date of the intended destruction or disposal.

(3)          The right to further preservation of the sexual assault evidence collection kit in accordance with GS 15A-266.5A.

(4)          The right to have an advocate or support person present during any court proceedings.

Directs that these rights apply to both reported and unreported sexual assault examination kits. Effective December 1, 2025, and applies to sexual assault evidence collection kits in the possession of any hospital, law enforcement agency, or the Department of Public Safety on or after that date. Requires the Office of the Attorney General to prepare and publish on its website a list of those rights in plan, easily understandable language by December 1, 2025.

Section 3.

Removes “President-elect” as one of the officers in the Executive Committee of the DA Conference in GS 7A-412. Requires that the Executive committee consist of a President, Vice-President, and at least four other members of the conference (currently, committee consists of four members, President, Vice-President, and President-elect). Shortens the amount of notice that the President of the Conference or Executive Committee must give to the DA Conference in calling a meeting from 10 days to five days. Makes language gender neutral. Removes reference to clerical support in title of GS 7A-414. Effective July 1, 2025.

Makes changes to GS Chapter 115C, Article 8, Part 1B (School Performance) to modify the performance metrics and grades related to school performance.

Amends GS 115C-83.15(b) to modify the school achievement score calculation by separating the assessments for grades kindergarten through fifth and grades sixth through eighth, assigning points for metrics related to annual assessments. For grades six through eight, requires one point to be assigned for each of the following: (1) for each percent of students who score at or above proficient on annual assessments for mathematics; (2) for each percent of students who score at or above proficient on annual assessments for science in grades six through eight; (3) for each percent of students who progress in achieving English language proficiency on annual assessments in grades five through eight; (4) for each percent of students who score at or above proficient on annual assessments for English Language Arts; and (4) for each percent of students in grade eight who complete a high school level course. Alters the metrics for assessments of grades ninth through twelfth in subparagraph (b)(2) by including a point for each percent of students who meet specified levels for advanced course exams, dual enrollment courses, armed services qualification tests, and industry credentials (was, minimum score for admission into a UNC constituent institution on a nationally normed test of college readiness, or enrolled in Career and Technical Education Courses and score at the specified levels on a nationally normed test of workplace readiness); applies these same changes to subsection (e1) career and readiness scores. Makes each achievement metric equally weighted. Alters the Education Value-Added Assessment System (EVAAS) in subsection (c) by making conforming changes and adding that the growth score must also include the percentage of students in the lowest 25% in English Language Arts and mathematics. Specifies the overall performance score is an equally weighted calculation of the metrics in subsection (b) and EVAAS for the overall performance score in subsection (d). Changes the threshold scores for overall performance grades in subsection (d). Makes corresponding changes throughout the statute. Makes technical changes.

Alters the school quality and student success indicators for ninth through twelfth grades in GS 115C-83.16(a)(2)b. to include advanced course exams, dual enrollment courses, armed services qualification tests, and industry credentials (was, minimum score for admission into a UNC constituent institution on a nationally normed test of college readiness, or enrolled in Career and Technical Education Courses and score at the specified levels on a nationally normed test of workplace readiness).

Defines “advanced course exam” in GS 115C-83.17(1a) as an Advanced Placement, International Baccalaureate, or Advanced International Certificate of Education course.

Effective and applicable for the 2025-26 school year.

Part 1

Amends GS 115C-218.1(b) to require that initial members of a charter school board of directors consent to a criminal history check as provided in GS 115C-218.4. Amends GS Chapter 115C, Article 14A by enacting a new section, GS 115C-218.4, titled Charter board of directors criminal history checks. Defines criminal history as it is defined in GS 115C-77(a). Defines member as an individual who is a member of the board of directors (BOD) of a nonprofit seeking initial approval to establish a charter school.

Directs that prior to final approval of a charter application being granted, all nonprofit BOD members must pay for and submit to criminal history checks, except that a nonprofit may pay on behalf of a member. Requires the State Bureau of Investigation (SBI) to provide any member’s criminal history from the State and National Repositories of Criminal Histories to the Charter Schools Review Board (Review Board), which must then require the member to be fingerprinted, provide additional information required by the SBI to the Review Board, and sign a form consenting to the check and use of identifying information required by the repositories, including fingerprints. Prohibits the Review Board from issuing a charter to a nonprofit with a member who refuses to consent.

Requires the Review Board to review and determine whether a member’s criminal history (i) constitutes a threat to the physical safety of students or personnel or (ii) indicates that the member does not have the necessary integrity or honesty to serve on the BOD of a charter school. The Review Board must make written findings regarding how it used the information it received to deny an application, if it does so.

Information received and used by the Review Board under this statute is confidential and not a public record and may be destroyed by the Review Board after one calendar year.

Exempts the Review Board and its employees from liability for negligence arising from acts or omissions made in carrying out the duties of this statute; however, that immunity does not extend to gross negligence, wanton conduct, or intentional wrongdoing that is otherwise actionable. Deems immunity under this part waived to the extent of indemnification by insurance or under GS Chapter 143, Articles 31A and 31B, and to the extent sovereign immunity is waived under the Tort Claims Act under GS Chapter 143, Article 31. Makes it a Class A1 misdemeanor for any member to willfully furnish, supply, or otherwise give false information for a criminal history record check under this part.

This part is effective October 1, 2025, and applies to applications for initial charters received on or after that day.

Part 2

Amends GS 115C-270.1 to define applicant as an individual who submits an application for licensure, including initial applications, renewal applications, and applications for reinstatement. Defines criminal history as defined in GS 115C-7(a).

Amends GS 115C-270.5(a) to mandate that the State Board of Education (SBE) require all applicants for licensure in North Carolina be checked for a criminal history, as provided in new GS 115C-270.12 (described further below).

Amends GS 115C-270.10(a) to allow the SBE to include in its schedule of fees costs associated with the criminal history check.

Amends GS Chapter 115C, Article 17E by enacting GS 115C-270.12, titled Licensure criminal history checks.

• Requires first-time applicants under this Article be checked for a criminal history before the SBE may issue a license.
• Allows an applicant to be temporarily employed while the SBE reviews the applicant’s criminal history and makes a decision. 
• Requires an applicant (or a governing body of a public school unit that chooses to) to pay fees associated with the criminal history check under this part.
• Requires the SBI to provide to the SBE the criminal history from the State and National Repositories of Criminal Histories of any applicant, all of whom are required to be fingerprinted; provide additional information required by the SBI to a person designated by the SBE; and sign a form consenting to the check and use of identifying information required by the repositories, including fingerprints. Prohibits the SBE from issuing a license to an applicant who refuses to consent.
• Requires the SBE to review and determine whether an applicant’s criminal history indicates that the applicant (i) constitutes a threat to the physical safety of students or personnel, (ii) does not have the necessary integrity or honesty to fulfill the duties of a professional educator, or (iii) otherwise fails to meet the SBE’s standards and criteria governing professional educator ethics and moral character. The SBE must make written findings regarding how it used the information it received to deny an application, if it does so.
• Authorizes the SBE to provide upon request an applicant’s criminal history to the governing body of a public school unit considering employing the applicant, during the period of licensure.
• Information received and used by the SBE under this part is confidential except where provided and not a public record and may be destroyed by (i) the SBE after the individual’s license has ended or has been renewed or (ii) the governing body of a public school unit after it is used for purposes authorized by this part after one calendar year.
• Exempts the SBE and its employees from liability for negligence arising from acts or omissions made in carrying out the duties of this part; however, that immunity does not extend to gross negligence, wanton conduct, or intentional wrongdoing that is otherwise actionable. Deems immunity under this part waived to the extent of indemnification by insurance or under GS Chapter 143, Articles 31A and 31B, and to the extent sovereign immunity is waived under the Tort Claims Act under GS Chapter 143, Article 31. Makes it a Class A1 misdemeanor for any applicant to willfully furnish, supply, or otherwise give false information for a criminal history record check under this part.

Encourages the SBE to to work toward programming the licensure system to align with the Multistate Educator Lookup System to enable electronic validation of out-of-state credentials and related information.

This part is effective October 1, 2025, and applies to applications for licensure received on or after that day.

Part 3

Establishes Part 7, titled Public School Unit Personnel, in GS Chapter 115C, Article 7B. Recodifies GS 115C-332 into newly established Part 7. Amends GS 115C-77 as described below.

Clarifies that criminal history include crimes under GS Chapter 14, Article 5A, Endangering Executive, Legislative, and Court Officers, and Article 7B, Rape and Other Sex Offenses. Amends the definition of school personnel to include employees of public school units, including part-time employees, and qualifying independent contractors of public school units. Further defines the following terms:

• Consumer reporting agency. – an entity which, for monetary fees, dues, or on a cooperative nonprofit basis, regularly engages in whole or in part in the practice of assembling or evaluating consumer credit information or other information on consumers, including criminal history checks, for the purpose of furnishing consumer reports to third parties, and which uses any means or facility of interstate commerce for the purpose of preparing or furnishing consumer reports, and which is regulated as provided in 15 U.S.C. § 1681, et seq. A criminal history check by a consumer reporting agency provided for purposes of this section must include a (i) search of the state criminal registry or repository in which the applicant resides; (ii) multistate/multijurisdiction database search, which includes a follow-up search at the originating source for any information returned by the database search and which confirms final disposition information of the same;(iii) search of records obtained from county, state, and federal criminal repositories where the individual resides and has previously resided; and (iv) search of the National Sex Offender Registry established as provided in 42 U.S.C. § 16919.
• Governing body. – The governing body of a public school unit.

Replaces nearly all references to "local boards" with "governing body" throughout.

Requires the governing body’s criminal history check policies to require applicants for school personnel employment to submit to criminal history checks by either a consumer reporting agency, the SBI, or both. Allows a governing body to require an applicant to pay for fees associated with a criminal history check under this part.

Makes valid and requires a public governing body of a public school unit to accept a school personnel applicant’s criminal history check in the last three years as part of an application for licensure pursuant to GS 115C-270.12. Allows the governing body to request a copy of the criminal history check from the SBE.

Requires the SBI to provide to a governing body the criminal history for any applicant under this part. A governing body that requires a criminal history check by the SBI must require the applicant to be fingerprinted by and provide additional information as required by the SBI, and to sign a form consenting to the check and use of identifying information required by the repositories, including fingerprints. Prohibits the governing body from employing or contracting with an applicant who refuses to consent. Authorizes a governing body to require an applicant to pay for fingerprinting.

This part is effective January 1, 2026, and applies to applications for employment received on or after that date.

Part 4

Makes conforming changes and repeals to consolidate background check statutes to the following statutes: GS 115C-157.1(b)(2), GS 115C-218.90(b), GS 115C-238.73, GS 115C-298.5(b)(2), GS 115C-332.1, GS 115C-562.5, GS 116-239.12, GS 14-202.4(d)(3), and SL 2021-180.

Part 5

Amends GS 143B-1209.11, titled Criminal record checks of school personnel, as follows.

• Makes conforming changes to subsection (a).
• Enacts new subsection (a1) authorizing the SBI to provide an applicant’s criminal record check to the SBE if the applicant consents to the record check. Further authorizes the SBI to provide a criminal record check as defined in GS 115C-270.1(1a) by fingerprint card to the SBE, in accordance with GS 115C-270.12. Makes confidential information received by the SBE as provided in GS 115C-270.12(e).
• Enacts new subsection (a2) authorizing the SBI to provide a criminal record check to the Review Board of a member of a nonprofit BOD seeking initial approval to establish a charter school, if the member consents to the record check. Further authorizes the SBI to provide a criminal record check as defined in GS 115C-218.4(a)(2) by fingerprint card to the Review Board, in accordance with GS 115C-218.4. Makes confidential information received by the Review Board as provided in GS 115C-218.4(e).
• Authorizes the SBI to charge a fee to offset the cost incurred by the SBI in conducting a criminal record check under the immediately above two provisions; however, the fee must not exceed the actual cost of locating, editing, researching, and retrieving information.

Part 6

Except as otherwise provided, this act is effective when it becomes law.

Includes whereas clauses.

States that the House of Representatives: (1) recognizes the historic significance of the friendship and alliance between the US and France; (2) commends the people of France for their remarkable achievements in promoting democracy, economic prosperity, and international cooperation; (3) applauds France for its continued partnership and economic cooperation with the State; and (4) affirms the friendship and cooperation between France and the State and expresses commitment to further strengthening these ties. Urges Congress to work more closely with France on mutually beneficial trade relations to encourage increased investment and collaboration between French and American companies in the economy of both the US and France. Expresses to Congress full support for the longstanding alliance between the US and France. Requires this resolution to be provided to the French Embassy in Washington, DC, the Honorary Consuls of France to the US Southeast, each member of North Carolina's Congressional Delegation, the Clerk of the US House of Representatives and the Secretary of the US Senate, and the President.

Sets out nine “Whereas” clauses identifying statistics that support the need for paternal engagement in children’s lives. Appropriates $2 million from the General Fund to the Office of State Budget and management for 2025-26 for a directed grant to Family First, Inc., a Florida nonprofit corporation (the nonprofit), to expand its All Pro Dad fatherhood program to North Carolina. Also appropriates $3 million from the General Fund to the Department of Health and Human Services (DHHS) for 2025-26 for grants to address the needs of fathers and allows using up to $2 million to contract for the required Program Manger. Requires the nonprofit to register with the Secretary of State in North Carolina and to use the funds to encourage father-child engagement. Gives DHHS six months to implement the grant to the nonprofit from the effective date of July 1, 2025.

Amends Article 2 of GS Chapter 108A adding Part 12, “Responsible Fatherhood NC Act.” Defines Department as DHHS, and Program as Responsible Fatherhood NC (the Program). Identifies the intent of the legislature to recognize and support the role of fathers in children’s lives. Requires DHHS to contract with a Program Manager to implement the Program. Sets out criteria for the Program Manager to be a nonprofit organization with a history of focusing on responsible fatherhood and the capacity to manage a statewide initiative. Requires the Program Manager to develop, implement, and manage the Program with a focus on awareness of the role of fathers and resources for fathers, including the identification and use of existing available resources.

Requires DHHS to create two grants to be awarded to nonprofit community-based organizations to address the needs of fathers: (1) grants for services tailored to the needs of the father supported by case management and (2) grants for parenting education, specifically for fathers. Requires DHHS to prioritize grant applicants based on a list of nine priorities, including need in a geographic area, mission of the organization, community involvement, and capacity. Limits grants to three years contingent on the organization’s compliance with requirements and its performance. Limits grant duration to three years, with subsequent funding contingent on compliance with the grant requirements and adequate performance. Requires grantees to report to the DHHS.

Effective July 1, 2025.

Amends GS 20-79.4(b)(44) to clarify that for civic club special license plates, a member of the organization includes the organization itself if the organization is the registered owner of the vehicle, and includes Lions Club in the list of example organizations.

Directs the Department of Public Instruction (DPI) to study changes for implementing budget flexibility for local school administrative units. Provides that the flexibilities are to include methods of combining allotments, allowing transfers between allotments, or other methods DPI finds viable. Requires DPI to report to the Joint Legislative Education Oversight Committee and the Fiscal Research Division on or before April 1, 2026, identifying beneficial methods of flexibility and making legislative recommendations.

Appropriates $50,000 from the General Fund for the 2025-26 fiscal year to DPI for the study.

Effective July 1, 2025.

Amends GS 116-209.25 establishing a matching program (the Program) by the State Education Assistance Authority (the Authority) for contributions to the Parental Savings Trust Fund (the Fund) for accounts opened under section 529 of the Internal Revenue Code (new subsection (e1)). The Authority will provide matching contributions of $100 for every $50 contributed by an eligible person, up to $500 per year, with a maximum of $1,500 per qualifying student. Defines eligible person (a qualified parent or interested party who is a resident of North Carolina and has a household income not exceeding 250% of the federal poverty guidelines) and qualifying student (resident of North Carolina who is 14 years of age or younger). Appropriates $180,000 in recurring funds from the General Fund to the Board of Governors of the University of North Carolina for 2025-26 to be allocated to the Authority to fund the Program. Effective July 1, 2025.

Amends GS 105-153.5(b) creating a new tax deduction of up to $2,000 for individuals who file as single and up to $4,000 for a couple filing a joint return (new subsection (12a)), for contributions to an account in the Parental Savings Trust Fund. Requires adding back to adjusted gross income any amounts previously deducted from the Fund if not used for qualified higher education expenses, unless withdrawn due to the death or permanent disability of the beneficiary. Applies to taxable years beginning on or after January 1, 2026. 

Amends GS Chapter 14, Article 52, adding new GS 14-401.28, titled Sale of tobacco products, alternative nicotine products, and vapor products near schools unlawful. Makes it unlawful for any person, firm, or corporation to sell or purchase such products within any structure or at any location which is within 1,000 feet of a public or nonpublic school’s property line. Defines the term “tobacco products,” “alternative nicotine products,” and “vapor products” to mean the same as defined in GS 14-313. Excludes from the definition of “school” a home school under GS 115C-563 as well as higher education institutions. Makes a violation a Class 2 misdemeanor; however, it is not a violation if a sale or purchase in an otherwise prohibited area is incidental to the primary operations of an established business facility.

Applies to offenses committed on or after December 1, 2025.

Appropriates $5 million from the General Fund to the Office of State Budget and Management for 2025-26 to provide a directed grant to the City of Fayetteville to establish an Innovation District within the City to foster economic growth and collaboration by bringing together entities such as educational institutions, businesses, universities, and start-ups in a concentrated area. The City will collaborate with Fayetteville State University and other local entities to establish the venture to stimulate economic activities in Cumberland County.

Appropriates $2.5 million from the General Fund to the Office of State Budget and Management for 2025-26 to provide a directed grant to the City of Fayetteville to consolidate the City's and Cumberland County's 911 Emergency Dispatch Center.

Appropriates $25,000 from the General Fund to the Office of State Budget and Management for 2025-26 to provide a directed grant to the Hollywood Heights Community Club's Community Center for facility repairs and maintenance.

Appropriates $400,000 in recurring funds from the General Fund to the Office of State Budget and Management for each year of the 2025-27 biennium to provide a directed grant to the City of Fayetteville to provide equal funding to support four fire stations.

Appropriates $100,000 from the General Fund to the Office of State Budget and Management for each year of the 2025-27 biennium to provide a directed grant to the City of Fayetteville for maintenance and trail development at Lake Rim Park.

Effective July 1, 2025.

Section 1.(a)

Reserves GS 108A-50.3 through GS 108A-50.9 for future codification purposes.

Section 1.(b)

Amends GS 108A-24. Defines division as the Division of Social Services of the Department of Health and Human Services.

Section 1.(c)

Amends GS Chapter 108A, Article 2, adding new Part 4A, titled Kinship Guardianship Assistance.

Enacts GS 108A-50.10. Authorizes the Division of Social Services of the Department of Health and Human Services (Division) to provide financial support for eligible children placed into relative guardianship from foster care. Eligibility for kinship guardianship assistance payments (KinGAP) extends until the child is 18 years-old if each of the following are true:

(1)   Removal from the child’s home was a result of a voluntary placement agreement or a judicial determination that remaining in the home was contrary to the child’s welfare.

(2)   The child was eligible for foster care maintenance payments pursuant to 42 U.S.C. § 672 while residing for at least six consecutive months in the home of a licensed prospective guardian who is related to the child by blood, marriage, or adoption, or who has a substantial relationship with the child or the child's parent prior to the child being placed in foster care.

(3)   Reunification and adoption have been determined to be inappropriate for the child.

(4)   The child is at least 10 years old and demonstrates a strong attachment to the prospective relative guardian who has a strong commitment to caring for the child permanently.

(5)   At the time of entry into the guardianship agreement, a North Carolina county child welfare agency has placement and care of the child.

(6)   The child, if at least 14 years old, has been consulted regarding the kinship guardianship arrangement.

Authorizes continued KinGAP to anyone 18 years or older who (i) left foster care under a guardianship assistance agreement, (ii) attained 16 years of age before the kinship guardianship assistance agreement became effective, (iii) voluntarily continues to receive guardianship services until reaching 21 years of age, and (iv) is determined by the Division to be (a) completing secondary education or a program leading to an equivalent credential, (b) enrolled in an institution that provides postsecondary or vocational education, (c) participating in a program or activity designed to promote or remove barriers to employment, (d) employed for at least 80 hours per month, or (e) incapable of completing the educational or employment requirements preceding this provision due to a medical condition or disability that is supported by regularly updated information in the individual’s case plan.

Extends eligibility for KinGAP to a child who is less than 10 years old but whose sibling qualifies for KinGAP, if the county child welfare agency and the prospective relative guardian agree on the guardianship arrangement being appropriate for the sibling.

Preserves continued eligibility for KinGAP for an individual whose relative guardian dies or is incapacitated and is replaced by a successor legal guardian identified in the kinship guardianship assistance agreement.

Enacts GS 108A-50.11, titled Guardianship assistance. Authorizes the Division to use State funds allocated for foster care to provide financial support for eligible children who exit foster care into legal guardianship, if the Division determines that the following are true:

(1)   The child has attained 10 years of age and demonstrates a strong attachment to the licensed prospective guardian and the prospective guardian has a strong commitment to caring permanently for the child.

(2)   The child is in a permanent family placement setting for at least six consecutive months prior to the execution of the guardianship agreement.

(3)   The prospective guardian is eligible to be appointed as a legal guardian pursuant to GS 7B-600(b).

(4)   The child is unlikely to achieve permanency through reunification or adoption.

(5)   At the time of entry into the guardianship agreement, a North Carolina county child welfare agency has placement and care of the child.

(6)   The child, if at least 14 years old, has been consulted regarding the kinship guardianship arrangement.

Authorizes continued guardianship assistance payments after attaining 18 years of age to anyone who left foster care under a guardianship assistance agreement if the individual (i) attained 16 years of age before the guardianship assistance agreement became effective, (ii) voluntarily continues to receive guardianship services until reaching 21 years of age, and (iii) is determined by the Division to be (a) completing secondary education or a program leading to an equivalent credential, (b) enrolled in an institution that provides postsecondary or vocational education, (c) participating in a program or activity designed to promote or remove barriers to employment, (d) employed for at least 80 hours per month, or (e) incapable of completing the educational or employment requirements preceding this provision due to a medical condition or disability that is supported by regularly updated information in the individual’s case plan.

Enacts GS 108A-50.12, titled Guardianship assistance agreement. Requires the county child welfare agency to negotiate and enter into a binding guardianship assistance agreement with the prospective guardian of an eligible child and to provide that prospective guardian with a copy of the agreement, in order for payments to be received.

Requires the guardianship agreement to, at a minimum, specify (i) the manner and amount of each anticipated guardianship assistance payment, (ii) how a payment may be adjusted, (iii) additional services and assistance available to the child and guardian under the agreement, (iv) the procedure by which the guardian may apply for additional services, (v) the State will bear the full cost of nonrecurring expenses associated with obtaining legal guardianship of the child, limited to $2,000, and (vi) the agreement remains in effect without regard to the State residency of the guardian.

Enacts GS 108A-50.13, titled Reimbursement for guardians. Sets room and board reimbursement rates for legal and relative guardians under the guardianship assistance program to be the same as those established for foster care under GS 108A-49.1.

All parts of this section are effective July 1, 2025.

Section 2

Requires the Social Services Commission to adopt temporary rules for the implementation of the act’s provisions, which will remain in effect until permanent rules are adopted in their place.

Makes changes to GS Chapter 93A to clarify that residential property wholesaling requires a real estate broker’s license.

Amends GS 93A-2 defining residential property wholesaling to include soliciting homeowners for purchase contracts of their property unless it will be used as the soliciting party's residence, marketing or selling purchase contracts for residential property for consideration or selling or buying or negotiating purchase contracts or options for property, and makes residential property wholesaling a part of the real estate broker definition.

Creates new GS Chapter 93A, Article 8 (Residential Property Wholesaling and We Buy Houses Homeowner Protection Act), intended to protect homeowners from unfair and deceptive practices in residential property wholesaling. Grants a homeowner the right to cancel a purchase contract that is part of a residential property wholesale transaction within 30 days and requires payment of a refund within 10 business days after cancellation. Requires purchase contracts used in these transactions to include a statement about the cancellation right in 14-point font, with specific provisions for how to cancel. Makes failure to provide the right to cancel a per se unfair or deceptive trade practice and authorizes a party to bring actions under GS Chapter 75 to obtain relief. Specifies that recoveries under GS Chapter 75 will not be offset from consideration paid to the homeowner in connection with the property transaction. Permits the Attorney General to enforce the provisions as allowed under GS Chapter 75.

Allows the North Carolina Real Estate Commission to adopt rules to implement the act.

Effective and applicable to purchase contracts entered on or after October 1, 2025.

Amends GS 126-14.6, adding a new provision establishing as State policy that State employee hiring, promotion, and training must be without regard to race or ethnicity, religion, or sex and that applications for State employment cannot inquire about race. Expands the definition of "promote" to also mean compelling State employees or contractors (was State employees only) to affirm or profess belief in the concepts listed in the section. Eliminates current subsection (b), which lists 13 concepts that are prohibited from being promoted in State government workplaces or included as part of any State employee training program. Enacts new subsection (c), listing 13 concepts as prohibited from being promoted in State government workplaces or included as part of any State employee training program, borrowing and expanding upon the language of the 13 concepts eliminated from subsection (b) to address religion and ethnicity in addition to race and sex. Deems a violation of the statute employment discrimination.

Amends GS 126-34.02 allowing to be heard as a contested case allegations of an applicant for State employment, a State employee, or former State employee alleging employment discrimination or harassment based on ethnicity, after completion of the agency grievance procedure and the Office of State Human Resources Review. Deems a violation of GS 126-14.6 employment discrimination.

Enacts GS 160A-170 and GS 153A-100 to require cities and counties, respectively, to (1) refrain from soliciting or requiring an applicant for employment to endorse or opine about beliefs, affiliations, ideals, or principles regarding matters of contemporary political debate or social action as a condition of employment; and (2) refrain from soliciting or requiring an applicant for employment to describe the applicant's actions in support of, or in opposition to, the beliefs, affiliations, ideals, or principles regarding matters of contemporary political debate or social action. Permits applicants to voluntarily opine or speak regarding any matter. Prohibits employment applicants from inquiring into matter prohibited as compelled speech under the sections. Provides for construction of the statutes with respect to discussing an applicant's resume, curriculum vitae, or other work or remarks; complying with federal or State law; and constitutionally protected speech. Includes in GS 153A-100 that a violation of the statute is employment discrimination.

Enacts GS 160A-170.1 and GS 153A-100.1 stating legislative intent with regards to city and county employee training methods and procedures. Lists 13 concepts which cities and counties are prohibited from promoting in city and county workplaces or including as part of city or county employee training programs, mirroring the list enacted in GS 126-14.6(c), including (1) that one race, religion, ethnicity, or sex is inherently superior to another race, religion, ethnicity, or sex; and (2) an individual's moral character is necessarily determined by their race, religion, ethnicity, or sex. Defines "promote". Specifies that the statute does not prevent a private contractor who provides training to city or county employees from responding to questions that are raised by participants and pertain to the prohibited concepts so long as the contractor clarifies that the government employer does not endorse the concepts. Excludes constitutionally protected speech from the statute's scope. Mandates employee hiring, promotion, and training be without regard to race, religion, ethnicity, or sex, and prohibits employment applications from inquiring about race. Includes in GS 160A-170.1 that a violation of the statute is employment discrimination.

Enacts GS 143-162.8, prohibiting State agencies, local governments, and non-State entities from using State funds or public monies to promote, support, fund, implement, or maintain discriminatory programs (defined as a program promoting the concepts listed in GS 153A-100.1). Additionally prohibits State agencies, local governments, and non-State entities from applying for, accepting, or using federal funds, grants, or other financial assistance that require compliance with discriminatory programs. Requires discontinuing existing programs funded through financial assistance that requires compliance with discriminatory programs. Includes five defined terms. Defines the scope of the prohibitions as described, and excluding constitutionally protected speech. Provides for construction of the statute with regards to identified federal laws, and other applicable State or federal law, and seven identified exemptions, including academic course instruction and guest speakers or performers on short-term engagements. Makes a knowing and willful violation of the statute a Class 1 misdemeanor. Provides for application of penalty provisions set for under specified state law. Directs the State Auditor to conduct periodic compliance audits with referrals directed for prosecution by the district attorney and reported to the specified NCGA committee or the Local Government Commission, as appropriate. Creates civil actions for persons or employees seeking injunctive or declaratory relief and recovery of reasonable attorneys' fees and costs and provides for venue of each action. Establishes that liability under the section is in addition to that under any other applicable provisions of law or cause of action in consequence of the violation. Includes a severability clause for the statute's provisions. 

Specifies that the act does not modify or supersede existing federal, State, or local law governing public accommodations or private establishments exempt from such requirements. 

Includes a severability clause for the act's provisions. 

Effective July 1, 2025. 

Requires the Legislative Research Commission (LRC) to study the status of “paper towns.” Defines a paper town as a town that exists in fact but does not provide adequate services, as required by law, to its residents. Sets out the requirements for the study as (1) determine whether towns incorporated by the General Assembly (GA) since 1995 are currently providing the services proposed by the petitioners; (2) determine whether services currently provided are sufficient to sustain the incorporation for purposes of taxation, zoning, and regulation of the right to control private property; (3) determine whether the GA should take action due to the failure of the town to provide services sufficient to sustain the incorporation; and (4) review the statutory criteria for incorporation to determine if any changes are needed. Sets a deadline for the LRC’s final report, including any proposed legislation, when the 2026 Regular Session of the 2025 NCGA convenes.

Amends GS 130A-152 (Immunization required) subsection (a) to prevent the Commission for Public Health from adding a new vaccine to the childhood immunization schedule unless (1) the vaccine has been approved by the FDA for at least three years or (2) the vaccine has been approved by the FDA for less than three years but is recommended by both the North Carolina Medical Society Board of Directors and the North Carolina Pediatric Society Board of Directors. Creates new subsection (a1) from existing language and makes corresponding changes to that subsection. Amends subsection (c) to require rules implementing reasonable fees for health care providers to charge for administering vaccines provided by the state, and limitations on requirements that can be placed on parents for allowing their children to receive vaccines provided by the state, and repeals subsection (c1), which contained substantially similar language. Makes corresponding and clarifying changes to the rest of the statute.

Effective and applicable to new vaccine requirements established on or after the date the act becomes law.

Enacts Article 51A, titled the “Prevent Sexual Exploitation of Women and Minors Act,” to GS Chapter 66, as follows. Defines fourteen terms including online entity (an individual or group of individuals working together or an entity as defined in GS 66-500, concerning commercial publication and distribution of material harmful to minors), online entity operator (a provider for an online entity), pornographic image (a visual depiction of actual or feigned sexual activity or an intimate visual depiction), and eligible person (with respect to a pornographic image published to an online entity, includes (1) an individual depicted in the pornographic image who has not provided consent, or who has withdrawn consent in compliance with the laws applicable to the jurisdiction, for the distribution of the pornographic image; (2) an authorized representative; or (3) a law enforcement officer acting pursuant to a valid court order).  

Prevents an online entity operator from acting to publish or allow a user to publish a pornographic image to the online entity unless the operator has verified that each individual appearing in the pornographic image: (1) was not less than 18 years of age when the image was created; (2) has provided explicit written evidence of consent for each act of sexual activity in which the individual engaged during the creation of the pornographic image; and (3) has provided explicit written consent for the distribution of the specific pornographic image. Clarifies that a consent to the sexual act does not constitute consent to the distribution of the pornographic image. Provides for the evidence of consent to be obtained through a form prepared by the Office of the Attorney General (AG), as described. Requires the online entity operator to produce at least one form of valid identification for each individual appearing in the pornographic image as described. Tasks the AG with adopting rules to implement the Article.

Requires an online entity operator to establish a procedure for removing a pornographic image from the online entity in GS 66-507 at the request of a person and to designate one or more employees of the operator to be responsible for handling requests for removal of pornographic images. Requires that the online entity post prominent notice on its website on how to request removal of pornographic images. Requires the operator to remove the pornographic image as quickly as possible, but in any event not later than 72 hours after receiving the request if made by an eligible person. Establishes review procedures if the request is received by a person other than an eligible person. Directs the online entity to temporarily remove the image if a question arises as to the consent of a performer. Requires the online operator to block the pornographic image, and any altered or edited version of the pornographic image, from being distributed on or published to the online entity again. Bars a user of an online entity from distributing or publishing a pornographic image of an individual to the online entity without the consent of the individual in GS 66-508.

Provides for enforcement of the Article by civil penalties on a per day and per image basis in GS 66-509. Designates violations of the Article a Class 1 misdemeanor. Caps penalties brought by the AG at $10,000 for each day the image remains on the online entity. Allows for a civil action brought by an eligible person harmed by the online image with damages in the greater of (1) $10,000 for each day during which an online image remains on the online entity calculated on a per day and per image basis or (2) actual damages. Provides for attorneys’ fees for a prevailing eligible person. Allows for civil penalties capped at $10,000 for each day that an online entity’s failure to provide the required notice, discussed above. Allows for civil penalties capped at $5,000 for each day that an online entity fails to remove a pornographic image upon request by an eligible person. If an online entity fails to undergo the specified review procedures upon request for removal of a pornographic image from a person other than an eligible person, then allows for an eligible person to bring a civil action against the online entity operator in the appropriate district court of the United States for damages in the greater of (1) $10,000 for each day during which an online image remains on the online entity calculated on a per day and per image basis or (2) actual damages. Excludes an online entity operator from liability under the Article if they reasonably relied upon verification materials, so long as the operator removes the pornographic materials not later than 24 hours after receiving notice that the verification materials violate the Article.

If an online entity operator violates this Article with respect to a pornographic image, allows any eligible person to bring a civil action against the online entity operator for damages in an amount equal to the greater of (1) $10,000 for each day during which the pornographic image remains on the online entity in violation of this Article or (2) actual damages. If a user of an online entity violates this Article with respect to a pornographic image, authorizes any eligible person to bring a civil action against the user for damages in an amount equal to the greater of (1) $10,000 for each day during which the pornographic image remains on the online entity in violation of this Article, calculated on a per day and per image basis or (2) actual damages.

Contains severability clause.

Effective December 1, 2025, and applies to acts or omissions occurring before, on, or after that date; except that prosecutions under GS 66-510 (appears to intend GS 66-509), as enacted by the act, may be brought only for acts or omissions occurring on or after that date.

Part I.

Sets a monthly teacher salary schedule for "A" teachers for 2025-26 for licensed public school personnel classified as teachers, based on years of experience, ranging from $4,450 for teachers with 0 years of experience to $5,795 for 25 or more years of experience. Provides for a 12% salary supplement for licensed teachers who have National Board for Professional Teaching Standards certification; a 10% salary supplement for licensed teachers classified as "M" teachers; a $126 salary supplement for licensed teachers with licensure based on academic preparation at the six-year degree level, in addition to the "M" teachers salary supplement; a $253 salary supplement for licensed teachers with licensure based on academic preparation at the doctoral degree level, in addition to the "M" teachers salary supplement; a 10% salary supplement for certified school nurses; and a $100 salary supplement for school counselors licensed as counselors at the master’s degree level or higher.

Requires that the first step of the salary schedule for school psychologists, school speech pathologists licensed at the master's degree level or higher, and school audiologists licensed at the master's degree level or higher must be equivalent to the sixth step of the "A" salary schedule. Provides for a 10% and $500 salary supplement. Deems these employees eligible to receive salary supplements equivalent to those of teachers for academic preparation at the six-year degree level or the doctoral degree level. Requires that the twenty-sixth step of the salary schedule for school psychologists, school speech pathologists licensed at the master's degree level or higher, and school audiologists licensed at the master's degree level or higher must be 7.5% higher than the salary received by these same employees on the twenty-fifth step of the salary schedule. Provides that in lieu of the amounts of annual longevity payments to teachers paid on the teacher salary schedule, beginning with the 2014-15 fiscal year, the amounts of those longevity payments are included in the monthly amounts under the teacher salary schedule. 

Details teacher compensation for the 2025-26 school year based on either (1) the applicable salary schedule; (2) the sum of the salary the teacher received in 2013-14, longevity pay for the 2013-14 school year, and annual bonus provided in SL 2014-100; or (3) the sum of the salary and annual bonus the teacher received in the 2014-15 school year, with the compensation amount determined to be equal to the greater of those amounts. Provides that "teacher" includes instructional support personnel. Appropriates $406.3 million in recurring funds for 2025-26 from the General Fund to the Department of Public Instruction (DPI) to increase salaries for teachers and support personnel.

Part II.

Amends GS 115C-111.05 by requiring the State Board of Education (State Board), to the extent funds are available for this purpose, to allocate funds for children with disabilities to each local school administrative unit on the basis of reported cost of the services provided instead of on a per child basis. Appropriates $89.4 million in recurring funds for 2025-26 and $109.2 million in nonrecurring funds for 2025-26 from the General Fund to DPI to implement the plan for weighted funding for children with disabilities on the basis of the reported cost of services provided developed by DPI pursuant to Section 7.7 of SL 2023-134, to be distributed as described.

Part III.

Amends GS 115C-263 to require public school units to have a school food authority to provide school nutrition services in the schools under their jurisdiction by offering students two meals per day, breakfast and lunch (was, local boards of education must provide to the extent practicable school nutrition services in the schools under their jurisdiction). Requires the State Board of Education, to the extent funds are available for this purpose, to allocate funds to school food authorities at public school units to provide students with free healthy nutrition services. Requires, in issuing the allocation, that the amount be determined based on an evaluation of the authority’s nutrition services (sets out minimum requirements for the method and criteria used for the evaluation), that funds be distributed on a fair and equitable basis, and the allocation be issued at the beginning of the fiscal year, with the Board allowed to reserve for future allocation an amount not to exceed 10%. Specifies that funds allocated under this statute supplement and do not supplant funds from other sources for the same purpose.

Amends GS 115C-218.75 by requiring charter schools, GS 115C-238.72 by requiring regional schools, GS 115C-150.14 by requiring schools for students with visual and hearing impairments, and GS 116-239.8 requiring laboratory schools to provide school nutrition services according to GS 115C-263 and GS 115C-264 (setting out requirements for school nutrition programs, including that they participate in the National School Lunch Program). Makes conforming changes.

Amends GS 115C-264 requiring local boards of education operating school nutrition programs to also participate, if eligible, in the Community Eligibility Provision Program.

Appropriates $144 million in recurring funds for 2025-26 from the General Fund to the Department of Public Instruction to provide nutrition services to students in public school units at no cost to the students. Allows the use of funds appropriated to State Aid for Public Schools for this purpose if this funding is insufficient for 2025-26.

Effective July 1, 2025, and applies beginning with the 2025-26 school year.

Part IV.

Enacts GS 115C-102.10 requiring the State Board to adopt by rule standards for a one-to-one electronic device refresh and replacement program to provide schools funds to update or replace electronic devices used directly by students and teachers for instruction. Requires the standards to cover three areas at a minimum, including instructions on how to dispose of devices no longer in use. Requires local school administrative units to administer the programs in accordance with standards set by the State Board. Appropriates $152,620,000 from the General Fund to DPI in recurring funds for 2025-26 for DPI to establish the one-to-one device refresh program.

Part V.

Prevents the State Education Assistance Authority (Authority) from awarding any Opportunity Scholarship grants to new persons who did not receive those grants in the prior school year, starting with the 2025-26 school year. Specifies the General Assembly’s intent to eliminate the program beginning in the 2036-37 school year or once all recipients become ineligible for receipt of the scholarship grants.

Expands the qualifications required for a student to meet the definition of eligible student in GS 115C-562.1 so that the student must have received a scholarship grant for the school year prior to the school year for which the student is applying and also resides in a household with an income level between the amount required for the student to qualify for the federal free or reduced-price lunch program and not in excess of 200% of that amount. Removes priority award order and makes conforming changes to GS 115C-562.2 (scholarship grants) to account for new definition of eligible student.  

Starting with the 2027-28 year, modifies the funds appropriated for the Opportunity Scholarship Grant Fund Reserve (Reserve) in GS 115C-562.8 so that they are reduced from a high of $800 million for the 2031-32 school year to $111,589,117 for that year. Continues the reduction for subsequent years until the 2036-37 year when the opportunity scholarship is sunset. Makes conforming and technical changes.

Reduces funds appropriated for Opportunity Scholarship grants as follows: (1) of the recurring funds appropriated to the Board of Governors of The University of North Carolina for the opportunity scholarship program pursuant to SL 2021-180, by the sum of $30 million for 2025-26; (2) of the funds appropriated to the Reserve for 2024-25 and allocated from the Reserve for the award of scholarship grants in 2025-26, by the sum of $277,165,459 for 2025-26; and (3) of the funds appropriated to the Reserve as follows: $369,867,906 in recurring funds for 2025-26 and $82,848,257 in recurring funds for 2026-27.

Applies beginning with the 2025-26 school year.

Effective July 1, 2025, except as otherwise provided.

Amends GS 115C-47 to create new subdivision (1b), directing local boards of education to include students that attend a NC Pre-K program held in a building owned by a local school administrative unit in the average daily membership for that unit. Effective July 1, 2025.

Amends GS 105-317 to expand the duties of assessors to include a written notice to real property owners within 30 days of the completion of the revaluation of the property required by GS 105-286. Sets out the contents of the notice, including the most recent and immediately prior appraised values of the property, percentage increase or decrease between subdivisions, instructions to property owners for appealing the newly appraised value, tax rates, and government department contact information and where to access the government’s budgets. Requires assessors to include certain information for all governments in the county that adopted a tax rate with the annual tax notice during any year in which a revaluation of real property is conducted. Sets out the required information, including various tax rates, percentage increase or decrease between subdivisions, and government department contact information and where to access the government’s budgets. Makes the same amendments to GS 105-328.

Amends GS 159-11 to expand the duties of the budget officer to include the publication of an estimate of the revenue-neutral rate on the government’s official website no later than May 15 of each year in which a general appraisal of real property is conducted. Requires the Local Government Commission to develop and distribute a template for calculating the estimate.  Requires the budget officer to update the website no later than July 15 upon adoption of the annual budget for a year in which a revaluation is conducted, including various tax rates, percentage increase or decrease between subdivisions, and government department contact information and where to access the government’s budgets.

Effective for reappraisals on or after January 1, 2025. 

Effective January 1, 2026, amends and adds to Part I, Licensing, of Article I, Adult Care Homes, GS Chapter 131D, as follows. 

Amends GS 131D-2.1, eliminating multiunit assisted housing with services as a defined term. Deletes multiunit assisted housing with services from the types of assisted living residences, as defined. Deletes the term registration. Adds and defines registered residential facility to mean a nonlicensed residence for two or more unrelated adults, by whatever name it is called, in which the housing management arranges for a licensed home care or hospice agency to provide hands-on personal care services and nursing services to residents through an individualized written care plan; excludes described continuing care retirement communities and temporary family health care structures. Makes changes throughout the Part to replace references to multiunit assisted housing with services to registered residential facilities. 

Expands the types of health concerns or care needs that generally prevent individuals from being accepted to a registered residential facility under GS 131D-2.2 to include: (1) individuals who, because of one or more physical or cognitive impairments, are unable to evacuate from the registered residential facility independently without physical or verbal assistance and (2) individuals who exhibit wandering behaviors or who, because of one or more cognitive impairments, require supervision to maintain their safety in the registered residential facility. Modifies the exception to the prohibition by now allowing the facilities to care for individuals with one of the listed conditions or care needs if a physician certifies that the appropriate care can be provided on a temporary basis by an appropriate licensed health care professional to meet the resident's needs and prevent unnecessary relocation (previously, did not require that the care be provided by an appropriate licensed health care professional).

Enacts GS 131D-2.2A providing for the annual registration of registered residential facilities with the Division of Health Service Regulation (Division) as follows. Lists eleven required disclosures that must be included on a disclosure statement as part of its application, including (1) charges for rentals or services offered by the facility which cannot be changed without 30 days' written notice to residents; and (2) a listing of all licensed home care and hospice agencies and other community services located in the same areas a the facility and their contact information. Requires the Division to approve or disapprove of the disclosure statement as part of the registration process. Requires registered residential facilities to continually comply with the disclosure statement and notify the Division within 14 days of making any changes. Requires inclusion of the disclosure statement as part of the resident's annual rental contract and requires the resident or their legal representative to annually sign the statement.

Requires the housing management of a registered residential facility to have a financial interest or affiliation, or formal written agreement that makes personal care services accessible and available to residents through at least one licensed home care or hospice agency. Provides for resident choice of provider, separate billing for personal care services, and informed consent for contracting housing and services. 

Requires initial and annual screening of residents to identify resident needs and ancillary services needed. Allows for assistance with self-administration of medications by appropriately trained staff if a licensed nurse has approved the delegation of medication pursuant to the home care agency's established plan of care for the resident.  

Prohibits a registered residential facility and its owners, agents, employees, or affiliates from serving as a resident's legal representative or payee, or handling a resident's funds. Requires criminal background checks for registered residential facility employees.  Bars hiring or using as a volunteer any individual listed on the NC Health Care Personnel Registry (Registry). Requires registered residential facilities to verify that a licensed home care or hospice agency conducts criminal background checks of its employees prior to referrals. 

Authorizes the Division to deny, suspend, or revoke, the registration of a registered residential facility for any of the three listed reasons, including that the Division has determined the facility is providing services that require a license rather than registration or that the Division has determined the facility is not in compliance with its disclosure statement. Authorizes the Secretary of the Department of Health and Human Services (DHHS Secretary) to deny, suspend, amend, or revoke the registration of a registered residential facility, or suspend the admission of any new residents to a registered residential facility, in any case in which the DHHS Secretary finds that there  has been a substantial failure to comply with Part 1 of Article 1 of GS Chapter 131D, any applicable rules adopted under Part 1, or any other applicable State laws or rules. Allows a facility to contest the Division’s or the Secretary's actions by requesting an administrative hearing under GS Chapter 150B (the APA).

Establishes a duty of a registered residential facility that knows or has cause to suspect that a resident is being abused, neglected, or exploited to report to law enforcement, the Registry, and the appropriate county department of social services, pursuant to State law. 

Provides for inspection by the Secretary to investigate complaints filed with the Division and requires requires registered residential facilities to allow the Division  access to the premises and records upon request. Provides a timeline and requirements for the Division to send a written report of its findings to the facility and for the facility to submit a plan of correction to the Division. Permits the Division to take adverse action for failure to submit a plan of correction.

Excludes registered residential facilities from those facilities exempt from licensure requirements under Article 1, set forth in GS 131D-2.3.

Amends GS 131D-2.5 to refer to a registered residential facility instead of a multiunit assisted housing with services. 

Amends GS 131D-2.6 to authorize DHHS to initiate injunctive or other proceedings against any person to restrain or prevent the establishment, conduct, management, or operation of a registered residential facility without approved registration. 

Amends GS 143B-165, directing the Medical Care Commission (Commission) to adopt rules establishing standards for registered residential facilities, including those previously required for multiunit assisted housing with services as well as inspections and the approval, denial, revocation, or amendment of a facility's registration, and suspension of admission at a facility. 

Authorizes the Commission to adopt emergency rules to implement the act, as specified, which sunsets on the earlier of January 1, 2027, or the date permanent rules adopted by the Commission become effective. Prohibits the Commission from adopting temporary rules pursuant to this provision.

Effective January 1, 2026, amends GS 131E-256, governing the Registry, to include registered residential facilities in the definition of "health care facilities". 

Appropriates $355,214 in recurring funds to the Division for each year of 2025-27 to fund three FTE Facility Compliance Consultant I positions dedicated to the Division to assist with the registration and inspection of registered residential facilities. Appropriates $18,000 to the Division for the 2025-26 year to purchase equipment, supplies, and other nonrecurring expenses associated with the positions. 

Part I Revise Eligibility Requirements for Opportunity Scholarships

Amends GS 115C-562.1 by repealing subsection (3a) and replacing it with subsection (3d), redefining an eligible student as a student residing in North Carolina who has not yet received a high school diploma and who meets certain requirements. Requires an eligible student to satisfy one of the following criteria: (1) full-time attendance at a NC public school or a Department of Defense (DOD) school located in NC; (2) receipt of a previous scholarship grant; (3) attainment of the age to start school; (4) placement in foster care; (5) adoption one year or less before the scholarship grant application; (6) parent or legal guardian who is active duty or who has been discharged within 12 months prior to application; or (7) both enrollment in a nonpublic school during spring semester prior to the school year for which the student is applying and was previous enrollment in either a NC public school or a DOD school located in NC. Prohibits an eligible student from enrolling in a postsecondary institution earning 12 hours of academic credit. Requires the eligible student to either reside in a household with an income level not exceeding 200% of the federal free or reduced-price lunch eligibility threshold or is in foster care. Excludes distributions from the estate of a decedent the calculation of income and the household income of the foster parent.

Adds definitions of full-time student (a student enrolled exclusively in a nonpublic school whose parents have released the local school administrative unit of all obligations to educate the eligible student while the student is receiving a scholarship grant) and part-time student (a student enrolled part time in a public school and part time in a nonpublic school).

Amends GS 115C-562.2 to require the State Education Assistance Authority (the Authority) to begin awarding scholarship grants on March 15. Sets out the priority for awarding the grants, with first priority given to eligible students who received a grant for the school year prior to the application, and 50% of the remaining funds disbursed to eligible students residing in households with an income level not exceeding 200% of the federal free or reduced-price lunch eligibility threshold, and the rest disbursed to all other eligible students.

Replaces subsections (b2), (b3), and (b4) with subsection (a1) which sets out the criteria for determining the amount of the scholarship grant. Limits the grant to 90% for full-time students and 45% for part-time students of the average State per pupil allocation for eligible students residing in households with an income level not exceeding 200% of the federal free or reduced-price lunch eligibility threshold. Limits the grant to 90% for full-time students and 45% for part-time students of the required tuition and fees for the nonpublic school the student will attend for eligible students residing in households with an income level exceeding 200% of the federal free or reduced-price lunch eligibility threshold. Allows a nonpublic school to include tuition and fees for books, transportation, equipment, or other items required by the nonpublic school. Prohibits scholarship grants from exceeding either the average State per pupil allocation or the required tuition and fees for the nonpublic school, as applicable to the eligible student.

Part II Increase Accountability and Reporting Standards for Nonpublic Schools Receiving Opportunity Scholarships

Clarifies in GS 115C-562.2(b2) that scholarship grants shall be awarded in monthly installments. Requires for grant recipients in grades three through 12 (was, grades three, eight, or 11) that the Authority provide to the nonpublic school an amount equal to the cost of the required nationally standardized test.

Amends GS 115C-562.5, requirements for nonpublic schools that accept eligible students receiving scholarship grants. Expands the requirement for nonpublic schools to annually provide documentation of their tuition and fees to the Authority and to the Division of Nonpublic Education (the Division). Requires the Division to publish this information on its website. Limits the increase of tuition and fees to 5% per school year. Requires the nonpublic school to adopt a criminal background check policy that mirrors the local board of education policy. Requires compliance with a standard course of study as adopted by the State Board of Education and administration of all tests required by the State Board of Education for students in grades three and higher. Does not prohibit the nonpublic school from administering additional tests. Repeals subsubsections (4)a., b., and c. Replaces the term financial review with audit and requires the nonpublic school to report the results of an audit to the Joint Legislative Education Oversight Committee by December 31. Requires a school receiving more than $250,000 to publish its expenditures in the Uniform Education Reporting System. Requires nonpublic schools to provide annually all the attendance records from the previous school year of students receiving scholarship grants.

Adds requirements in subsections (9) through (15), including teacher qualifications, minimum days (185) and hours (1,025) of required instruction, maintenance of an operating reserve of four months’ worth of expenses, allowance of the copying and inspection of all contracts to which the nonpublic school is a party, the contact information of the owner of the school to be published on the school website, compliance with state laws regarding expulsion of students, and reports to the Authority on any expulsions from the nonpublic school.

Amends subsection (c) to require nonpublic schools enrolling more than 25 students to report to the Authority testing data for eligible students in grades three and higher and to require the Authority to publish such data on its website.  Amends subsection (c1) prohibiting discrimination to remove the reference to 42 USC 2000d and replace it with race, color, national origin, sex, sexual orientation, disability, or religion of any student or their family members. Expands to the State Board of Education, in addition to the Authority, the power to determine a nonpublic school’s compliance with the requirements.

Amends GS 115C-562.8(d) to repeal subsubsection (1) and require any unexpended funds at the end of a fiscal year to be carried forward for one fiscal year.

Effective July 1, 2025, and applies to the 2025-2026 school year.

Appropriates $14.525 million from the General Fund to the Office of State Budget and Management for 2025-26 to be allocated in the form of grants to the following entities for the following purposes:

(1) Hasten International, Inc., a nonprofit, for mobile medical clinic services;

(2) Camel City Track Foundation, a nonprofit, for an expansion of existing facilities;

(3) Samantha and Kyle Busch Bundle of Joy Fund, a nonprofit, to provide assistance to low- and middle-income families struggling with the high cost of fertility treatments;

(4) Piney Grove Volunteer Fire and Rescue Department, Inc., a nonprofit, to enhance unit transportation and firefighting capabilities;

(5) Winston-Salem Speedway, LLC, for stadium improvements;

(6) North Carolina Folk Festival, a nonprofit, for the annual Folk Fest in Greensboro;

(7) Historic Bethabara Park, Inc., a nonprofit, for repairs, replacements, and enhancements related to the historic site;

(8) Forsyth County for the Cure Violence program to address gun violence;

(9) Creative Corridors Coalition, a nonprofit, for the design and construction of the Peter Oliver Public Park.

Effective July 1, 2025.