Section 1.

Directs the Department of Health and Human Services (DHHS), Division of Health Benefits (DHB) to seek approval from the Centers for Medicare and Medicaid Services (CMS) to implement Medicaid coverage for certain doula services. Requires DHB, in collaboration with DHHS’s Division of Public Health (DPH) to develop the parameters of services to be covered, update applicable coverage policies, and determine credentialing requirements. Provides a list of education and experience considerations for implementing credentialing requirements.

Specifies that DHB must implement coverage as soon as possible after receiving approval from CMS. Requires DHB to provide a report no later than March 1, 2027, to the specified NCGA committee regarding the Medicaid coverage and estimated recurring costs to the State.

Section 2.

Appropriates $1,000,000 in recurring funds and associated receipts beginning with 2026-27 from the General Fund to DHB to implement the Medicaid-related changes. Appropriates an additional $550,000 in recurring funds beginning with 2026-27 to DHB for support services and technical assistance to the doula workforce. Effective July 1, 2026.

Section 3.

Enacts new Article 10B, Certified Professional Midwives, to GS Chapter 90. Prohibits any person from practicing or offering to practice midwifery without a Certified Professional Midwife (CPM) license as provided in new Article 10B. Exempts the following circumstances from the licensure requirement: (1) an individual approved to practice as nurse midwife under Article 10A (Midwifery Practice Act); (2) a physician licensed to practice medicine; (3) the performance of medical acts by a physician assistant or nurse practitioner when performed according to Board rules, (4) the practice of nursing by a registered nurse as allowed under Article 9A (Nursing Practice Act), and (5) the rendering of childbirth assistance in emergency situations.

Includes definitions applicable to Article 10B. Defines midwifery as the provision of primary health or maternity care to childbearing people and infants.

Creates a seven-member North Carolina Council of Midwives (Council), with members appointed by the Secretary of Health and Human Services (Secretary; DHHS). Provides for initial members to be appointed on or before October 1, 2026, or within three months of the Article becoming law, whichever is later. Details Council member requirements and term limits and includes provisions for compensation, meeting procedures, and Council administration. Directs the Council to adopt rules within one year of the initial meeting to implement the Article. Enumerates 12 powers and duties of the Council, in consultation with the Division of Health Service Regulation (DHSR) of DHHS and with guidance from the National Association of Certified Professional Midwives Standards of Practice, including rulemaking, licensing, and disciplinary authority. 

Lists five requirements for licensure as a certified professional midwife, including completion of an application and payment of required fees, and completion of all required educational and clinical training and earning the national Certified Professional Midwife certification credential awarding by an accredited midwifery certification agency.

Lists nine responsibilities of a licensed CPM, including the responsibility to provide care for the healthy client who is expected to have a normal pregnancy, labor, birth, and postpartal phase in the setting their choice; the responsibility to order routine antepartal or postpartal screening or lab analysis at a licensed lab or testing facility; and the responsibility to instruct the parents about all State-required newborn screening requirements. Directs a CPM licensed under Article 10B to display the license at all times in a conspicuous place where the midwife is practicing. Sets forth provisions for biennial license renewal, periods of lapsed licensure, and granting inactive status. Authorizes the Council to grant a license to a person residing in North Carolina licensed, certified, or registered to practice as a CPM in another jurisdiction if that jurisdiction's standards are substantially equivalent and the person submits an application and required fees. Directs the Council to establish a formulary of drugs and devices appropriate to CPM care from which licensed CPMs are limited to dispensing from, subject to applicable state and federal laws and recordkeeping requirements. Directs the Council to set all fees under Article 10B and to pay all expenditures out of funds from the fees or other funds. Allows the Council to discipline applicants or licensees, after a hearing, under seven specified circumstances.

Authorizes the Council to apply to superior court to enjoin violations of Article 10B. Provides that no health care provider will be liable for an injury to a woman or infant arising during childbirth and resulting from an act or omission by a licensed CPM.

Effective October 1, 2026.

Section 4.

Enacts Part 7 to Article 6 of GS Chapter 131E, the “Birth Center Licensure Act,” to establish licensing requirements for birth centers. Defines birth center as a facility licensed for the primary purpose of performing normal, uncomplicated deliveries that is not a hospital or ambulatory surgical facility and where births are planned to occur away from the mother's usual residence following a low-risk pregnancy (defined). Tasks DHHS with reviewing and revising as necessary the Freestanding Birth Center Fee Schedule (Schedule) every three years in new GS 131E-154.20.  Requires, in GS 131E-154.21, DHHS to inspect birth centers as it deems necessary to investigate unexpected occurrences involving death or serious physical injury and reportable adverse outcomes.  Specifies that birth centers are subject to inspection by DHHS at all times. Allows for public disclosure of information received by DHHS or the NC Birth Center (Commission), except where doing so would violate laws pertaining to patient records and confidentiality.

Establishes the seven-member Commission in DHHS to (1) adopt rules establishing standards for birth centers and (2) to review and make recommendations to DHHS about whether to approve or disapprove of birth center license applications. Provides for appointees, vacancies, terms and term limits, removal by the Governor for misfeasance, malfeasance, or nonfeasance, compensation, quorum, and clerical and support services. Instructs the Commission to adopt rules on accreditation, risk status procedures, mandating second trimester ultrasounds and targeted ultrasounds, patient transfers, and reporting, including on unexpected occurrences involving death or serious physical injury and any other adverse outcomes. Requires DHHS to enforce new Part 7 and the Commission’s rules. Authorizes release of confidential or nonpublic information to any health care licensure board in this State or another state or to DHHS personnel with investigative or enforcement authority over licensees in new GS 131E-154.25.

Adds GS 131E-154.17 to new Part 7, requiring birth centers to be licensed by DHHS. Provides for an application, one-year license, and posting of the license. Allows birth centers that (1) are operating in this State on the date the act becomes effective, (2) are accredited by the Commission for the Accreditation of Birth Centers (CABC), and (3) remain continually accredited to continue operations as the Commission is constituted and promulgates permanent rules. Provides for application process for those birth centers after that occurs. Authorizes DHHS, including the Secretary or designee, to take adverse action on a license in new GS 131E-154.18. Allows a birth center to challenge those actions under the contested case provisions of the APA. Prohibits a birth center from rendering the following services: (1) surgical procedures outside of those normally accomplished outside of an uncomplicated birth, to be determined by the Commission; (2) abortions; (3) general or conduction anesthesia; and (4) a vaginal birth after cesarean (VBAC) or trial of labor after cesarean (TOLAC). Effective one year after the rules promulgated by the North Carolina Birth Center Commission are adopted and applies to licenses granted on or after that date.

Makes it a Class 3 misdemeanor for a person to own, in whole or in part, or operate a birth center without a license, subject to a $50 fine for a first offense and up to $500 fines for subsequent offenses. Applies to offenses committed on or after December 1, 2026.

Directs DHHS, by October 1, 2026 to review and, as necessary, revise its current Freestanding Birth Center Fee Schedule to ensure that (1) the fees are sufficient to cover the costs of providing intrapartum, birth,  postpartum, and initial newborn care and (2) the cost for any State-mandated newborn screening is reimbursed at no less than the cost of the screening. Tasks DHHS with developing a licensure application. Requires the initial Commission appointments to be made not later than 60 days after the act’s effective date. Provides for initial staggering of terms.

 

Includes whereas clauses.

Part I.

Enacts GS 58-3-182 to cap cost-sharing for any health benefit plan (plan) for prescription drug coverage at $2,000 annually per covered person. Specifies that cost-sharing includes copayments, deductibles, and other out-of-pocket expenses for a prescription drug. Applies to insurance contracts entered into, renewed, or amened on or after October 1, 2026.

Part II.

Amends new GS 58-3-182, adding a provision to require nonemergency care provided at an in-network facility of a covered individual's health benefit plan to be charged to the individual at an in-network rate. Bars plans from allowing cost-sharing at an out-of-network rate if the facility is in the plan's network.

Amends GS 58-3-200 regarding the use of penalties for services outside of a health benefit plan's provide network when a contracted provider is reasonably available to the insured without unreasonable delay. Provides that upon notice or request from the insured, an insurer must determine whether a contracted provider is available to the insured without unreasonable delay by referencing the insured's location and specific medical needs.

Applies to healthcare services provided on or after October 1, 2026, and contracts issued, renewed, or amended on or after that date.

Requires that emergency ground ambulance services by considered part of the essential health benefit package under the specified federal law beginning with the 2027 calendar year. Directs the Commissioner of Insurance to share this change with the Centers for Medicare and Medicaid Services and insurers offering plans in the State on the federally facilitated marketplace.

Part III.

Enacts new Article 11C to GS Chapter 131E, Fair Billing and Collection Practices for Hospitals and Ambulatory Surgical Facilities. Recodifies GS 131E-91 (concerning fair billing and collections) as GS 131E-214.50 and amends the statute as follows. Adds to the collections practices hospitals and ambulatory surgical facilities must adhere to (1) bars referring a patient's unpaid bill to a collections entity unless an informed decision is made that the patient is not eligible for financial assistance under the hospital or facility's policies, and (2) bars reporting a patient's unpaid bill to a credit reporting agency until the bill is at least 180 days past due. 

Part IV. 

Amends GS 131E-214.13 governing pricing disclosure for frequently reported Diagnostic Related Group (DRG), Current Procedural Technology (CPT), and the Healthcare Common Procedure Coding System (HCPCS). Adds CPT, DRG, HCPCS, and statewide data processor to the defined terms. Changes the reporting requirements in subsections (b) and (d) to now require hospitals to quarterly (was, annually) report to the statewide data processor (was, the Department of Health and Human Services (DHHS)) specified information about (1) the 100 most frequently reported admissions by DRG for inpatients and (2) total costs for the 20 most common surgical procedures and the 20 most common imaging procedures performed in outpatient settings or ambulatory surgical facilities (facilities) along with CPT and HCPCS codes. Specifies that when calculating the amount, each hospital or facility must include charges for each billable item and service associated with the DRG or procedure regardless of whether a physician or nonphysician practitioner performed the service. Reorganizes the rulemaking provisions and adds that the Medicare Care Commission (Commission) must establish procedures for the statewide data processor to receive receive and submit data reported to DHHS for publication on its website. Makes conforming changes.

Enacts GS 131E-214.18 to authorize DHHS to assess civil penalties for violations of Article 11B in addition to any federal penalty. Sets the daily penalty at no less than .01% of the annual salary of the CEO of the noncompliant hospital or facility or more than $2,000.

Adds receipt of data from hospitals and facilities reported pursuant to GS 131E-214.13, as amended, to the duties of a statewide data processor set forth in GS 131E-214.4 and requires submitting the data to DHHS.

Makes the above changes effective on the later of January 1, 2027, or the date rules adopted by the Commission regarding uniform reporting pursuant to GS 131E-214.13(d) becomes effective. Directs the Commission to notify the Revisor of Statutes when rules pursuant to GS 131E-214.13(f1)(1) and (2) become effective. 

Enacts GS 131E-214.52 to require facilities to provide a written, itemized list of expected charges within three business days of the expected service when a patient requests a good-faith estimate. Requires the estimate be comprehensible to laypersons and include DRG, CPT, or HCPCS code for each expected charge. Prohibits the patient's final bill from exceeding more than 5% of any good-faith estimate provided under the statute. Directs DHHS to adopt implementing rules. Includes defined terms. Effective on the later of January 1, 2027, or the date the implementing rules take effect. Directs DHHS to notify the Revisor when the rules become effective.

Part V.

Appropriates $2.5 million in recurring funds beginning in 2026-27 from the General Fund to the Department of Insurance to implement and enforce Parts I and II of the act. Appropriates $2.5 million in recurring funds beginning in 2026-27 from the General Fund to DHHS to implement and enforce Parts III and IV of the act. Effective July 1, 2026.

Part I.

Enacts new Article 11C, Preserving Competition in Healthcare Act, to GS Chapter 131E. Sets forth defined terms. Defines hospital entity to include any licensed hospital, whether corporate or governmental, and any affiliated entity. Defines transaction to include all of the following, so long as the value of the assets, control, or governance interest equals or exceeds $5 million:

1. The sale, transfer, lease, exchange, optioning, conveyance, or other disposition of no less than 50% of the assets or operations of any hospital entity to any person or entity other than another hospital entity that controls, is controlled by, or is under common control with such hospital entity;
2. the transfer of control or governance of a hospital entity to a person or entity other than another hospital entity that controls, is controlled by, or is under common control with such hospital entity;
3. any binding legal obligation between two or more persons that results in a transfer of control, responsibility, or governance of no less than 50% of a hospital entity's assets to an acquiring entity;
4. any transaction, regardless of its exact form, that would be subject to review under the Article if it was structured as a purchase, merger, or joint venture;
5. any of the above transactions that is entered into by a hospital entity or by any person or entity that controls, is controlled by, or is under common control with such hospital entity; or
6. dispositions of no less than 50% of a hospital entity's assets made in the course of a bankruptcy proceeding.

Enacts GS 131E-214.21, requiring the State Auditor (Auditor), the Attorney General (AG), and the State Treasurer (Treasurer) (collectively, the Governing Actors) to collectively act or decide together on any or decision that is required by them under the Article. Excludes from the Article's scope in GS 131E-214.22 those transactions that are in the usual and regular course of a hospital entity's activities which the Governing Parties have provided a written waiver for the transaction. Deems the Governing Parties’ determination final and not subject to judicial review unless found to be arbitrary and capricious.

Establishes, in GS 131E-214.24, a procedure for hospital entities to notify the Governing Parties of proposed transactions and for the Governing Parties to review and make determinations with respect to transactions subject to the Article, as described. Requires hospital entities subject to the Article to provide the Governing Parties with written notice of a proposed transaction and certification that a copy of the Article has been provided to each member of the governing board or board of trustees of the hospital entity. Allows for a single written notice to suffice for both the hospital entity and acquiring entity, subject to the Governing Parties requesting more information as needed. Provides for the effect of the notice and directs the Governing Parties to adopt rules regarding required content and manner of the written notice. Sets forth a 60-day timeline for the Governing Parties’ review in GS 131E-214.26, within which the Governing Parties must notify the hospital entity in writing of its decision to either object to or take no action regarding the proposed transaction. Provides for the Governing Parties to extend the review period for up to another 60 days. Prohibits the parties from consummating the transaction during the review period.

Additionally requires in GS 131E-214.28, for the hospital entity to give written notice of the proposed transaction by publication in at least one newspaper in general circulation in each relevant county, as specified, within ten days after providing written notice to the Governing Parties. Details requirements of the published written notice and deems failure to provide this notice as sufficient grounds for the Governing Parties to object to the proposed transaction.

Requires in GS 131E-214.30, for the hospital entity and acquiring entity to hold at least one public hearing within 30 days after providing written notice to the Governing Parties, but not within 14 days after publication of written notice. Details hearing requirements, including seven days' written notice to the Governing Parties of the time, date, and location of the public hearing. Also requires the hospital entity and acquiring entity to give written notice to the relevant local governing bodies, as specified. Requires the Governing Parties’ approval to conduct the public hearing electronically. Provides specific hearing requirements for hospital entities that are nonprofits or publicly owned entities. Allows the Governing Parties to conduct an additional public hearing, subject to similar notice requirements. Deems the parties to the proposed transaction responsible for the costs of all public hearings. Excludes dispositions made in the course of a bankruptcy proceeding.

Lists eight general considerations the Governing Parties must address in making a determination about the proposed transaction in GS 131E-214.32, including (1) whether the fair market value of any asset to be transferred from the hospital entity to the acquiring entity has been manipulated by the actions of the parties in a manner that causes the fair market value of the asset to decrease; (2) whether the proposed transaction may have a significant effect on the cost, availability, accessibility, or quality of healthcare services for any affected community by considering six required factors; (3) any objections raised in the comments submitted to the AG; and (4) whether the proposed transaction complies with all applicable State and federal laws and regulations, including antitrust laws. Lists eight additional considerations the Governing Parties must take into account in making a decision about any proposed transaction subject to the provisions of the Article that would alter the control or governance of a tax-exempt or publicly owned hospital entity. Finally, for any proposed transaction subject to the provisions of the Article that involves a hospital owned by a municipality or a hospital authority, requires the Governing Parties to determine whether the transaction complies with the provisions of Article 2 of GS Chapter 131E governing the sale or conveyance of any rights of ownership the municipality or hospital authority has in a hospital entity.

Enacts GS 131E-214.36, granting the Governing Parties authority to contract, consult and receive advice from any State or US agency, or contract with experts or consultants, to assist in transaction review. Allows the Governing Parties to request from the Department of Health and Human Services (DHHS) a report of the anticipated effects of any proposed transaction on access to, or the pricing of, healthcare services in any part of the State; allows extension of the review period upon requests of such reports so long as the total review period does not exceed 180 days from the Governing Parties’ notice that the parties have submitted a complete notice. Authorizes the Governing Parties to impose specified fees upon the acquiring entity of up to $50,000 for the cost of all the contracts entered into by the Governing Parties, the Governing Parties’ actual review costs and DHHS's actual costs for report preparations. Allows the acquiring entity to seek an order from a court to limit its liability for imposed fees. Details procedures for such an objection and the effect of failing to pay imposed fees.

Establishes requirements for instances in which the Governing Parties objects to the proposed transaction in GS 131E-214.38. Requires the Governing Parties to file an action seeking injunctive relief in superior court, as described. Details procedures of such actions based on whether the hospital entity is a nonprofit or publicly owned entity, or a for-profit entity. In either instance, the court can issue a final determination approving the transaction, approving the transaction subject to modification, or disapproving the transaction. Allows appeal of the court's decision, except prohibits the Governing Parties from appealing a court's approval of the transaction subject to the same modification the Governing Parties initially sought. Allows any party to decline to enter into a transaction modified by court order. Deems modified transactions entered into not subject the renewed objections by the Governing Parties.

Following either the conclusion of the review process by the Governing Parties under GS 131E-214.32 or, if necessary, after a final decision of any judicial action authorized under GS 131E-214-38, requires the acquiring party to submit an annual report on its compliance with the terms of the purchase agreement for the transaction, including any representations made to, or modifications made by the Governing Parties. Directs the Governing Parties to adopt rules to specify the required contents of the annual report.  Requires entities that acquired a nonprofit or publicly owned hospital entities to also submit a report on its charitable activities and the disposition of its charitable assets. Authorizes the Governing Parties to file an action for relief as specified to restore the benefits of healthcare provider competition if the Governing Parties deem it reasonable and necessary to do so based on the acquiring entity’s failure to comply with the terms of the agreement either approved by the Governing Parties or issued by a court, including any modifications thereto.

Prohibits an acquiring entity from changing the financial assistance policy regarding uninsured or underinsured in effect immediately proceeding consummation of the transaction without first providing 120 days' written notice to the AG, its hospital staff, and patients who have previously benefited from the hospital entity's policy, with a limited exception for increases to applicable eligibility income limits. Clarifies that this provision does not prevent a hospital from increasing its applicable income limits used to determine patient eligibility for financial assistance at any time following consummation of the transaction, and it does not require an acquiring entity to provide prior notice to the Governing Parties. Details notice requirements for patients who previously benefited from the policy. Includes education requirements for the acquiring entity's physicians regarding new financial assistance policies and verbally informing patients of the new policy during the notice period.

Enacts GS 131E-214.42, as follows. Deems any transaction in violation of the Article void. Subjects each member of the governing board and each chief financial officer of the transaction entered in violation of the Article up to $50,000 per transaction unless the violation was made in wanton disregard of the law, in which case the penalty may be up to $1 million per violation. Directs the Governing Parties to initiate an action for determination of the penalty amount in the Superior Court for Wake County. Prohibits DHHS from issuing hospital licensed to any party of a transaction entered in violation of the notice, public hearing, and review requirements of the Article. Specifies the effect of the Article on the Governing Parties’ authority and the effect of the Article's penalties and remedies.

Applies to activities occurring on or after January 1, 2027.

Appropriates $50,000 for 2026-27 from the General Fund to the Office of State Auditor for examination of proposed transactions under this Part. Effective July 1, 2026.

Part II.

Amends GS 75-1.1 to limit the application of the statute’s learned profession exemption to health care providers only for acts and omissions directly related to providing medical, dental, or other health care that are subject to litigation under Article 1B (medical malpractice actions) of GS Chapter 90.

Enacts new GS 95-28.1B, as follows. Defines health care professional as an individual who is a licensed physician, physician assistant, advanced practice registered nurse, or registered nurse. Defines hospital, medical staff bylaws, and stakeholder. Makes it State policy that health care professionals have the right to report violations of medical staff bylaws to appropriate authorities and make comments concerning patient care for the protection of the public. Prohibits subjecting a health care professional to adverse action for reporting a violation of medical staff bylaws or making comments concerning patient care. Makes conforming changes to GS 95-241.

Allows the NC Board of Medicine to adopt rules to implement this Part.

Enacts new Article 52, Limitations on Agreements with Health Care Professionals, in GS Chapter 66, providing as follows. Defines health care professional as a licensed physician, physician assistant, advanced practice registered nurse, or registered nurse. Also defines medical staff bylaws, nondisclosure agreement, and non-compete clause. Requires a nondisclosure agreement entered into with a health care professional to include a statement that it does not restrict them from reporting safety concerns, ethical violations, or illegal activities. Prohibits requiring a health care professional from entering into a nondisclosure agreement that would: (1) prevent the health care professional from discussing patient safety concerns with licensing agencies, accrediting bodies, or other regulatory or oversight entities; or (2) restrict the health care professional's ability to report to the appropriate authorities violations of law, medical ethics, or medical staff bylaws. Prohibits an employment contract for a health care professional employed by a hospital from containing a non-compete clause. Also prohibits any policy or contractual agreement with a health care professional from providing new practice information upon patient request, and if available, requires the information to be provided by the person receiving the request. Voids any nondisclosure agreement or non-compete clause that violates the Article. Entitles a health care professional who prevails in an action under this Article to damages plus reasonable attorneys' fees and costs. Applies to contracts entered into, modified, or renewed on or after July 1, 2026.

Part III.

Enacts new GS 131E-99.1 prohibiting the chief executive officer of a qualifying hospital (one licensed under Article 5 of GS Chapter 131E that accepts funds from the State and is exempt from taxation) from receiving an annual compensation that is more than 400 times greater than the minimum compensation (defined as the value of the annual compensation received by a full-time employee of a qualifying hospital who receives minimum wage, or if no one receives minimum wage, the values of the annual compensation received by the lowest-paid, full-time employee). Violations are punishable by a penalty equal to the amount of the chief executive officer’s annual compensation. Requires an annual report from all qualifying hospitals to the North Carolina Medical Care Commission (Commission) on the minimum compensation and chief executive officer compensation for the preceding year. Sets deadlines for notifying hospitals of penalties and for payment of those penalties. Allows the Commission to adopt rules to implement these provisions.

Includes whereas clauses.

Adds new GS 145-52 adopting the censored version of Petey Pablo’s “Raise Up” as the State’s official hip-hop song.

Appropriates $6.5 million for 2026-27 and 2027-28 from the General Fund to the Department of Natural and Cultural Resources for the North Carolina Music Heritage and Tourism Initiative. Directs the Initiative to use funds for (i) a statewide “First in Flight, First in Sound” promotion campaign, (ii) hip-hop related events, (iii) promotional partnerships with local governments and HBCUs, (iv) a hip-hop music heritage trail, and (v) an informational and promotional mobile app. Requires the Initiative to represent cultural and hip-hop music scenes from across the state, including Greenville, Fayetteville, Durham, Charlotte, and Raleigh at minimum and to have two honorary chairpersons representing the State’s hip-hop music and heritage.

Amends GS 105-153.5, as the title indicates. Effective for taxable years beginning on or after January 1, 2026.

Section 1

Amends GS 115D-10.21(a) to expand the community college training program to up to 25 community colleges (was, 15). Requires the Community Colleges System Office (CCSO) to use funds appropriated for the NC Community Colleges System IDD Workforce Training Expansion as follows: (1) $640,000 in recurring funds must be used to create two positions that will create work-based learning opportunities and be dedicated to business and industry partner engagement statewide and for the expansion of Career and College Promise high school pathways and pre-apprenticeships and work-based learning for those with intellectual and developmental disabilities; (2) $810,000 in recurring funds may be used for marketing evaluation, online resources, professional development, and infrastructure support; and (3) remaining funds must be used to expand the program developed pursuant to GS 115D-10.21, as amended by this section, at the rate of $194,000 per participating community college.

Appropriates $3.85 million in recurring funds for 2026-27 from the General Fund to CCSO to implement provisions of Section 1.

Section 2

Requires ApprenticeshipNC to report to the Joint Legislative Oversight Committee on a plan to facilitate one or more expedited pathways for apprenticeship candidates to enter the teaching profession by March 15, 2027. Requires ApprenticeshipNC to develop the plan in collaboration with the Board of Governors of The University of North Carolina, the State Board of Community Colleges, the Department of Public Instruction, and Teach NC. Permits collaboration with other representatives of approved educator preparation programs, local school administrative units, and existing apprenticeship programs. Provides list of required plan components.

Section 3

Appropriates $4,913,100 for 2026-27 from the General Fund to CCSO to be used to expand access to digital credentials in all community colleges in NC, to select a single Credential Management System (CrMS) vendor that meets all required criteria, and to pay for deployment costs and other costs associated with implementing the CrMS. Directs funds appropriated from this section not to revert, but to remain available until the end of 2027-28. Provides criteria a vendor must meet to be contracted to provide a CrMS.

Except as otherwise provided, act effective July 1, 2026.

Adds new subsection (d1) to GS 163-166.35 requiring county boards of elections to implement certain requirements for early voting occurring at fire stations: (1) provide traffic control measures, (2) provide physical security, (3) provide phone support for voters, (4) provide sufficient signage on election day if the same fire station is not a voting place that day, (5) agree to indemnify a fire station from damage claims arising from use of the fire station as an early voting place, and (6) ensure service levels for unaffected fire stations. Effective when the act becomes law and applies to elections occurring on or after that date.

Enacts new Article 85, the “North Carolina-Ireland Trade Commission” (Commission) to GS Chapter 143. 

Establishes the seven-member Commission, administratively located in the Department of Commerce, and sets out membership and meeting requirements. Sets terms at three years, with members eligible for reappointment. Describes the duties of the Commission to encourage bilateral trade, mutual investment, and business, educational, and cultural exchanges between the State and Ireland and to take joint action on policy issues. Requires the Commission to submit an annual report to the NCGA including specified meeting information and any recommendations or requests, beginning by October 1, 2027.

Appropriates $10,000 in nonrecurring funds for 2026-27 from the General Fund to the Department of Commerce for administrative services to the Commission. Effective July 1, 2026.

Effective October 1, 2026 except as otherwise provided.

Amends GS 113A-10 making organizational changes. New subsection two provides that where a state agency is required to prepare or comment on an environmental document under provisions of local law for residential development that are within existing residential development zones, do not impact protected environmental areas, and meet defined density and footprint thresholds, no separate environmental document is required to be prepared or published under Chapter 113A so long as the environmental document or comment meets the provisions of this Chapter. Clarifies that the subsection is not intended to override local zoning authority, eliminate environmental safeguards, weaken water or air quality standards, and bypass public notice requirements.

Sets out notice requirements for all agencies involved in the predevelopment phase of residential construction when providing written decisions on qualifying housing projects and notes consequences for failure to deliver notice.

Enacts GS 160D-403.1 exempting a local government from extended review requirements in all areas and districts zoned for residential use and not requiring an amendment to zoning regulations or conditional use permits for duplexes, accessory dwelling units, and small multi-family units. Clarifies this is not intended to override local zoning authority, eliminate environmental safeguards, weaken water or air quality standards, or bypass public notice requirements.

Mandates that DEQ provide rules and manage processes for expedited reviews of water and sewer expansions supporting housing, childcare facility construction, workforce housing tied to major employers, and broadband expansion supporting new housing. Clarifies this is not intended to override local zoning authority, eliminate environmental safeguards, weaken water or air quality standards, or bypass public notice requirements.  

Requires local housing authorities to create publicly available dashboards to track average permit review time, agency backlog, and project approval timelines and to submit an annual report to NCGA on program performance and funds allocated.

Appropriates $100,000 in recurring funds for 2026-27 from the General Fund to the Department of Environmental Quality to be used for staffing support to implement this act.

Requires the Coastal Area Management Act (CAMA) Application Processing Rule (15A NCAC07J .0204) to be implemented as follows. For both CAMA major and minor development permit applications, the CAMA Application Processing Rule must provide that documentation showing that notice was sent by certified mail to the adjacent riparian landowners at the tax address of record constitutes sufficient notice to meet the requirements of the CAMA Application Processing Rule, and the failure of an adjacent riparian landowner to receive, claim, or respond to such notice will not delay or prevent the processing of the permit application. Clarifies that nothing in this subsection is intended to limit or prohibit an applicant for a minor development permit from using any method of notice permitted by applicable law or rule. Requires the Coastal Management Commission to amend the rule so that it is consistent with this provision. Sunsets these provisions when the permanent rules adopted become effective.

Defines project baseline area (an area defined as 50 feet plus or minus 5 feet from the location of the proposed entrance to the proposed upland basin marina) in GS 113A-129.11 (definitions pertaining to the upland basin marinas). Amends GS 113A-129.12(b) (upland basin marina permitting and development criteria) so that if the site-specific sampling data documents pre-project ambient dissolved oxygen levels above 5.0 mg/L in the project baseline area, the applicant may demonstrate compliance with dissolved oxygen standards through site-specific modeling certified by a North Carolina licensed professional engineer that the marina design provides sufficient flushing to maintain dissolved oxygen levels equal to the greater of (1) the pre-project ambient levels or (2) the level sufficient to support aquatic habitat. If the applicant provides this demonstration, prevents the Department of Environmental Quality (DEQ) from requiring additional mechanical aeration or other active interventions intended to increase or maintain dissolved oxygen as a condition of permit issuance unless DEQ provides written findings to the applicant within 90 days of the receipt of the demonstration identifying material errors in the applicant's demonstration based on peer-reviewed methodology or site-specific monitoring data. Makes technical changes. Amends GS 113A-129.12(b)(3) (pertaining bond or set-aside fund requirements) so that any bond under the requirement has to identify the State or appropriate permitting agency as the beneficiary. For set-aside funds, requires the applicant to establish a trust at a financial institution and designate the State or appropriate permitting agency as the beneficiary. Provides for a form and procedure for transference.

Makes technical corrections to GS 113A-129.12(b)(1) and updates the statutory cross-reference in GS 113A-129.12(e)(3).

Expands the authorized uses of the Coastal Storm Damage Mitigation Fund under GS 143-215.73M to include costs associated with the permitting, construction, or repair of a terminal groin so long as the project is sponsored by a local government and the Secretary determines that the project would provide storm damage mitigation or resiliency benefits to public lands in the vicinity of the terminal groin. Excludes the costs of financial assurance or costs of implementation of any component of the applicable inlet management plan from construction or repair costs.

Appropriates $800,000 for 2026-27 from the General Fund to the Department of Environmental Quality for the Coastal Storm Damage Mitigation Fund to be used for purposes consistent with GS 143-215.73M.

Amends GS 115B-2 (tuition waivers), so that community colleges must permit any child, if the child is at least years old but not yet 24 years old, whose parent, legal guardian, or legal custodian is a law enforcement officer, experienced correctional officer (a correctional officer with at least ten years of service as a correctional officer in the State), or firefighter to attend classes for credit or noncredit purposes without the required payment of tuition. Caps the number of free tuition at the number of months required to complete the educational program for which the child is applying. Makes conforming changes. Makes conforming and organizational changes to GS 115B-1. Applies beginning with the 2026-27 academic year.

Requires the Department of Public Instruction (DPI) to establish a PTA for Every School Grant Program (Program) for 2026-27 to provide supplemental funds to assist public schools with establishing parent-teacher associations (PTA) (a group of public school teachers and parents of students enrolled in the public school that work together for the improvement of the school and benefit of the student). Provides for a Program application for schools that contain schools without a PTA. Specifies that local administrative school units are eligible to receive grants in the amount of $2,000 per public school without a PTA up to a maximum of $30,000. Requires the local school administrative unit to provide matching funds, as described. Authorizes recipient local school administrative units the discretion to allocate grant funds among public schools in the unit that do not have an existing PTA; requires the units to certify that 1 PTA was created for every $2,000 received. For every PTA not established, the local school administrative unit must revert $2,000 but must not revert a total amount greater than the total award received by the local school administrative unit. Requires DPI to report to the specified NCGA committee on the Program as specified, by April 1, 2027. Appropriates $1.25 million from the General Fund to DPI for 2026-27 to establish the Program. Allows DPI to retain up to $80,000 in administrative costs. Effective July 1, 2026.