Appropriates $5 million in recurring funds from the General Fund to the Department of Public Instruction for 2017-18 to provide lunch at no cost to any student eligible for reduced-price lunch. Sets out the process for allocating the funds.

Enacts new GS 115C-264.5 prohibiting public schools from publicly identifying or stigmatizing a student who cannot pay for a meal or who owes a meal debt, with requiring the student wear a wristband or hand stamp listed as an example of such prohibited conduct; or requiring a student who cannot pay for a meal or who owes a meal debt to do chores or other work to pay for meals, unless chores or other work are required of all students regardless of meal debt. Requires a school to direct communications about a student's meal debt to a parent or guardian and not the student. 

Effective July 1, 2017, and applies beginning with the 2017-18 school year.