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North CarolinaSB 1252025-2026 SessionSenateWALLET

AN ACT TO REORGANIZE CHAPTER 115D OF THE GENERAL STATUTES AND MAKE NECESSARY CONFORMING CHANGES.

Sponsored By: Kevin Corbin (Republican), Dana Jones (Republican), Michael V. Lee (Republican)

Signed by Governor

APPOINTMENTSAPPROPRIATIONSBOARDSBUDGETINGCOLLEGES & UNIVERSITIESCOMMUNITY COLLEGESCOMMUNITY COLLEGES BOARDCOMMUNITY COLLEGES OFFICECONTRACTSCURRICULUMEDUCATIONEDUCATION, STATE BOARD OFFUNDS & ACCOUNTSHIGHER EDUCATIONPRESENTEDPUBLICRATIFIEDSESSION LAWSTUITIONUNCUNC BOARD OF GOVERNORSCHAPTEREDCOMMUNITY COLLEGE BOARDS

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Bill Overview

Analyzed Economic Effects

26 provisions identified: 13 benefits, 0 costs, 13 mixed.

Grants for short-term training and IDD jobs

Resident students can get up to $750 for short‑term, noncredit workforce credentials, under rules set by the State Board. The State also creates a program at up to 15 community colleges to help people with intellectual and developmental disabilities earn credentials and improve employment, with supports like job skills, assistive tech, and benefits counseling. The IDD program runs only if funds are appropriated.

In-state tuition for federal responders

Federal law enforcement, fire, EMS, and rescue staff with a permanent duty station in North Carolina pay in‑state tuition for approved training courses. The State Board must find the courses meet the agency’s training needs. This applies only if you do not already get a tuition waiver.

Residency teacher license and training

The law creates a one‑year Residency License that can be renewed twice. An eligible school must request it for you, and you must have at least a bachelor’s degree, required coursework or a content exam, be in a teacher prep program, and complete preservice steps. The Community College System may offer coursework for the residency licensure pathway. This opens a faster path into teaching with required supervision and training.

Tuition-free college courses for high schoolers

Qualified high school students can take community college courses without paying tuition through Career and College Promise. The college transfer pathway requires 30 semester hours, including English and math. Freshmen and sophomores may join some pathways if school and college leaders deem them academically ready, they get advising, and a parent or guardian consents. Gateway to College students may take needed developmental courses, and those count toward college funding. Local colleges can partner with school systems to run these programs with State Board approval.

Year-round classes count for funding

Community colleges can offer curriculum classes any time of year, including summer. Student membership hours from those classes count toward full‑time equivalent (FTE) used in State funding. This helps colleges support more year‑round course options.

More high school paths to college

Community colleges can team with schools to offer more college classes to high schoolers. Juniors and seniors can take academic transition and college transfer paths. Some freshmen and sophomores may join if they are academically ready and their parents agree. Colleges cannot use a high school’s private accreditation in admissions or aid decisions unless a State agency did it. Colleges also cannot contract with school districts to replace high school teachers or to teach high‑school‑level courses.

New HR and pay rules for staff

Community college employees are no longer covered by the North Carolina Human Resources Act. The State Board sets employment standards and salary scales for pay from funds it administers. This changes how staff pay and workplace rules are set across the system.

New rules for student driving certificates

Driving eligibility certificates must use a Division‑approved form dated within 30 days. Community college presidents or their designees can sign for enrolled students, and signers must show the student meets listed conditions. Appeals follow education rules, not standard DMV appeals. If a school reports a student no longer eligible, the Division revokes the permit or license 30 days after mailing notice. Revocation lasts until age 18 in some cases, or one year in others. A student can get the license back early by showing a diploma or a valid eligibility certificate, and the record is expunged when restored.

Tuition waivers and new fee rules

Part-time students must pay a pro rata share of full-time tuition. The State Board sets one registration fee for State‑funded extension courses and can waive tuition or fees for set groups, like high school students, unemployed people, and those earning up to 200% of the federal poverty level. The Board cannot waive fees for college employees, but colleges may pay for one course per semester for full‑time staff and for approved professional development. The Board may charge and keep adult high school equivalency test fees to cover testing, diplomas, and reporting. Colleges may use bookstore profits for student aid, scholarships, and direct student benefits, but not to boost staff salaries.

Stronger oversight and accreditation for colleges

The State Board must require colleges to meet accreditor rules and adopt a statewide accreditation policy. Colleges generally cannot use the same accreditor for back‑to‑back cycles; if no new candidacy is won three years before expiration, they may stay one more cycle. Colleges can sue over knowingly false statements to accreditors that trigger costly reviews. The Board runs periodic compliance reviews with valid samples and shares major findings with leaders and the State Auditor. It may use reserve funds for pilots and new programs and can withhold State support when standards or local funding are not met. The Board also monitors athletic‑team law compliance and reports violations.

ASL, motorcycle, and coastal training courses

The State Board will set standards for American Sign Language and encourage colleges to offer ASL as a modern language. A Motorcycle Safety Instruction Program is created, and colleges can choose to offer it; a coordinator may be appointed or contracted. The System Office must help coastal colleges offer commercial fishing and aquaculture classes and report on any barriers.

Excused absences and driving certificate rules

Each community college must allow at least two excused absences per year for religious observances, with chances to make up work. National Guard students called to State active duty get excused absences, makeup options, temporary grades, or penalty‑free drops if they cannot finish. The State Board also sets procedures, appeals, and privacy rules to get a driving‑eligibility certificate for community college enrollees.

Teens 15–17 can take fire training

Unpaid youth ages 15 to 17 who belong to a bona fide fire department or rescue squad may take approved community college fire training. Courses must be on a State Board‑approved list and can lead to certification.

Teens can take more noncredit classes

Under State Board rules, youth under 16 may take self‑pay noncredit summer classes. High school students can take noncredit safe‑driving courses on a self‑supporting basis. Students 16 and older can take noncredit courses except adult basic skills. Qualified youth age 15 and older may take approved fire training courses.

Workforce training help for employers

The law creates a Customized Training Program for businesses that invest, add jobs or productivity, use new tech, and build worker skills. Program funds do not expire at year‑end. Each year by September 1, the System Office reports company awards, services, cost per trainee, trainees, and years funded. Colleges may use up to 10% of prior college‑delivered training and up to 5% of prior contractor‑delivered training for capacity building. The share for staff training/support can be up to 15% of annual appropriations starting in the 2025–26 year (previously up to 8%).

Community colleges lead workforce and adult ed

The Community Colleges System Office is the State’s lead agency for workforce training, adult literacy, and adult education. It plans and coordinates these programs statewide. The act also makes Section 2.5 take effect starting with the 2025–26 school year.

More support for students with IDD

Certain one‑time state funds remain available through June 30, 2027. The System Office must create at least two statewide support positions, train college advisors to help students with intellectual and developmental disabilities, and look for ongoing funding. These changes take effect June 30, 2025.

Stronger state oversight of colleges

The State Board must set up data exchange with public schools. At least every five years, the Board reviews areas where a county is served by more than one college and reports changes to lawmakers. The Board may replace a local board with a five‑member interim board for up to 12 months, using local or nearby residents, before a new board is seated under law.

Career coaches placed in high schools

The State places community‑college career coaches in high schools through signed agreements between colleges and school boards. The agreements cover hiring, training, supervision, pay, access to student records, and space and tech needs. A State advisory group reviews funding applications. Up to 4% of program funds can be used by the System Office for administration, which slightly reduces money for local coach placements.

Prison education funding shifts focus

Funds for inmate courses may be used only for people in State prisons. First priority is restoring basic skills FTE to the 2008–2009 level. Remaining money can support continuing education and job skills training. Courses in federal prisons do not earn regular budget FTE, but colleges may still offer them on a self‑supporting basis.

Who sets pay for college staff

State‑set salary caps for community college presidents apply only to the State‑paid share. The State Treasurer sets the employer contribution rate on any locally paid salary share using actuarial advice. The law also clarifies which statutes set pay rules and confirms the State Board sets salaries for Community Colleges System Office staff.

New accreditation and private college rules

Community colleges cannot use the same accreditor in back‑to‑back cycles, but the State Board can exempt specialized programs. The law narrows which private institutions qualify by requiring recognized regional or TRACS accreditation and degree‑granting status. Colleges can sue for costs if someone knowingly makes false statements to their accreditor that trigger a costly review. Accredited in‑state colleges and universities are exempt from certain real estate and appraisal course fees.

New rules for prison and captive classes

Colleges must report prison education FTE using student membership hours. Multi‑entry/multi‑exit prison classes are banned except for literacy. Any course for captive or co‑opted groups needs prior State Board approval, and inmate courses must tie to job skills or transition needs. Courses taught without approval do not earn FTE funding.

New scorecard for community colleges

The State Board updates how it rates each college. Measures include basic skills progress, success in credit English and in credit math or science, first‑year progress, retention and graduation, and licenses or certifications earned. The Board may add more measures. These updates apply beginning with the 2025–26 academic year.

Old community college laws repealed

The law repeals G.S. 115D‑21.5, removes Article 6A of Chapter 115D, and repeals four listed session law sections. These parts are no longer in effect. Any impact depends on what those older provisions did.

Stricter rules to start programs

New community college programs need State Board approval unless tuition fully covers the cost. If tuition stops covering costs, the program must end unless the Board approves it. New transfer programs can be added, but those needing a large funding increase require a General Assembly appropriation. Multicampus centers must meet a common funding formula, be at least 4 miles from the main campus, and cannot be approved without recurring funds. The law also clarifies allowed course types and lets accredited community college massage programs skip separate Board licensure approval if they certify they meet standards each year.

Sponsors & Cosponsors

Sponsors

  • Kevin Corbin

    Republican • Senate

  • Dana Jones

    Republican • Senate

  • Michael V. Lee

    Republican • Senate

Cosponsors

  • Timothy D. Moffitt

    Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 302 • No: 0

Senate vote • 6/25/2025

SB 125: Various Education Changes.

Yes: 46 • No: 0 • Other: 4

House vote • 6/11/2025

SB 125: Various Education Changes.

Yes: 107 • No: 0 • Other: 13

House vote • 6/11/2025

SB 125: Various Education Changes.

Yes: 106 • No: 0 • Other: 13

Senate vote • 3/4/2025

SB 125: Reorganization of Chapter 115D.

Yes: 43 • No: 0 • Other: 7

Actions Timeline

  1. Ch. SL 2025-56

    7/3/2025Senate

  2. Signed by Gov. 7/3/2025

    7/3/2025Senate

  3. Pres. To Gov. 6/27/2025

    6/27/2025Senate

  4. Ratified

    6/26/2025Senate

  5. Ordered Enrolled

    6/25/2025Senate

  6. Concurred In H Com Sub

    6/25/2025Senate

  7. Placed On Cal For 06/25/2025

    6/24/2025Senate

  8. Withdrawn From Com

    6/24/2025Senate

  9. Ref To Com On Rules and Operations of the Senate

    6/16/2025Senate

  10. Regular Message Received For Concurrence in H Com Sub

    6/16/2025Senate

  11. Regular Message Sent To Senate

    6/12/2025House

  12. Ordered Engrossed

    6/11/2025House

  13. Passed 3rd Reading

    6/11/2025House

  14. Passed 2nd Reading

    6/11/2025House

  15. Amend Adopted A1

    6/11/2025House

  16. Placed On Cal For 06/11/2025

    6/10/2025House

  17. Cal Pursuant Rule 36(b)

    6/10/2025House

  18. Reptd Fav

    6/10/2025House

  19. Re-ref Com On Rules, Calendar, and Operations of the House

    6/10/2025House

  20. Reptd Fav Com Substitute

    6/10/2025House

  21. Re-ref to the Com on Higher Education, if favorable, Rules, Calendar, and Operations of the House

    5/29/2025House

  22. Withdrawn From Com

    5/29/2025House

  23. Ref To Com On Rules, Calendar, and Operations of the House

    3/6/2025House

  24. Passed 1st Reading

    3/6/2025House

  25. Regular Message Received From Senate

    3/5/2025House

Bill Text

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