North Carolina 2025-2026 Regular Session

North Carolina House Bill H316 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1	1		GENERAL ASSEMBLY OF NORTH CAROLINA
2	2		SESSION 2025
3		-	H 1
4		-	HOUSE BILL 316
	3	+	H D
	4	+	HOUSE BILL DRH30146-LUfa-3
	5	+
5	6
6	7
7	8		Short Title: Child Care Act. (Public)
8		-	Sponsors: Representatives Logan, G. Brown, Lopez, and G. Pierce (Primary Sponsors).
9		-	For a complete list of sponsors, refer to the North Carolina General Assembly web site.
10		-	Referred to: Rules, Calendar, and Operations of the House
11		-	March 10, 2025
12		-	H316 -v-1
	9	+	Sponsors: Representative Logan.
	10	+	Referred to:
	11	+
	12	+	DRH30146 -LUfa-3
13	13		A BILL TO BE ENTITLED 1
14	14		AN ACT TO REENACT THE NORTH CAROLINA CHILD TAX CREDIT, TO EXPAND 2
15	15		THE NORTH CAROLINA PREKINDERGARTEN (NC PRE -K) PROGRAM AND 3
16	16		INCREASE CARE SUBSIDY BY APPROPRIATING FUNDS FOR THOSE PURPOSES, 4
17	17		TO PROVIDE LUNCH IN PUBLIC SCHOOLS AT NO COST TO STUDENTS 5
18	18		THROUGH AN ALLOCATION BASED ON SCHOOL FOOD AUTHORITY 6
19	19		EVALUATIONS, TO APPROPRIATE FUNDS FOR PUBLIC CHILD CARE PROVIDED 7
20	20		BY COMMUNITY COLLEGES, AND TO REQUIRE A REPORT ON THE FEASIBILITY 8
21	21		AND ADVISABILITY OF A HIGH SCHOOL CHILD CARE APPRENTICESHIP 9
22	22		PROGRAM. 10
23	23		The General Assembly of North Carolina enacts: 11
24	24		12
25	25		PART I. NC CHILD TAX CREDIT 13
26	26		SECTION 1.1. G.S. 105-151.11 is reenacted as it existed immediately before its 14
27	27		expiration, is recodified as G.S. 105-153.12, and reads as rewritten: 15
28	28		"§ 105-153.12. Credit for child care and certain employment-related expenses. 16
29	29		(a) Credit. – A person who is allowed a credit against federal income tax for a percentage 17
30	30		of employment-related expenses under section 21 of the Code shall be allowed as a credit against 18
31	31		the tax imposed by this Part an amount equal to the applicable percentage of the 19
32	32		employment-related expenses as defined in section 21(b)(2) of the Code. In order to claim the 20
33	33		credit allowed by this section, the taxpayer must provide with the tax return the information 21
34	34		required by the Secretary. 22
35	35		(a1) Applicable Percentage. – For employment-related expenses that are incurred only 23
36	36		with respect to one or more dependents who are seven 18 years old or older up to 25 years old 24
37	37		and are not physically or mentally incapable of caring for themselves, the applicable percentage 25
38	38		is the appropriate percentage in the column labeled "Percentage A" in the table below, based on 26
39	39		the taxpayer's adjusted gross income determined under the Code. For employment-related 27
40	40		expenses that are incurred only with respect to one or more dependents who are 12 years old up 28
41	41		to 18 years old and are not physically or mentally incapable of caring for themselves, the 29
42	42		applicable percentage is the appropriate percentage in the column labeled "Percentage B" in the 30
43	43		table below, based on the taxpayer's adjusted gross income determined under the Code. For 31
44	44		employment-related expenses that are incurred only with respect to one or more dependents who 32
45	45		are 6 years old up to 12 years old and are not physically or mentally incapable of caring for 33
46	46		themselves, the applicable percentage is the appropriate percentage in the column labeled 34
47		-	"Percentage C" in the table below, based on the taxpayer's adjusted gross income determined 35 General Assembly Of North Carolina Session 2025
48		-	Page 2 House Bill 316-First Edition
49		-	under the Code. For employment-related expenses with respect to any other qualifying 1
50		-	individual, the applicable percentage is the appropriate percentage in the column labeled 2
51		-	"Percentage B" D" in the table below, based on the taxpayer's adjusted gross income determined 3
52		-	under the Code. 4
53		-	Filing Status Adjusted Gross Percentage A Percentage B Percentage C Percentage D 5
54		-	Income 6
55		-	7
56		-	Head of Up to $20,000 9%7% 13%9% 11% 13% 8
57		-	Household 9
58		-	Over $20,000 10
59		-	up to $32,000 8%6.3% 11.5%8% 9.8% 11.5% 11
60		-	12
61		-	Over $32,000 7%5.5% 10%7% 8.5% 10% 13
	47	+	"Percentage C" in the table below, based on the taxpayer's adjusted gross income determined 35
	48	+	under the Code. For employment-related expenses with respect to any other qualifying 36
	49	+	H.B. 316
	50	+	Mar 5, 2025
	51	+	HOUSE PRINCIPAL CLERK General Assembly Of North Carolina Session 2025
	52	+	Page 2 DRH30146-LUfa-3
	53	+	individual, the applicable percentage is the appropriate percentage in the column labeled 1
	54	+	"Percentage B" D" in the table below, based on the taxpayer's adjusted gross income determined 2
	55	+	under the Code. 3
	56	+	Filing Status Adjusted Gross Percentage A Percentage B Percentage C Percentage D 4
	57	+	Income 5
	58	+	6
	59	+	Head of Up to $20,000 9%7% 13%9% 11% 13% 7
	60	+	Household 8
	61	+	Over $20,000 9
	62	+	up to $32,000 8%6.3% 11.5%8% 9.8% 11.5% 10
	63	+	11
	64	+	Over $32,000 7%5.5% 10%7% 8.5% 10% 12
	65	+	13
	66	+	Surviving 14
	67	+	Spouse or 15
	68	+	Joint Return Up to $25,000 9%7% 13%9% 11% 13% 16
	69	+	17
	70	+	Over $25,000 18
	71	+	up to $40,000 8%6.3% 11.5%8% 9.8% 11.5% 19
	72	+	20
	73	+	Over $40,000 7%5.5% 10%7% 8.5% 10% 21
	74	+	22
	75	+	Single Up to $15,000 9%7% 13%9% 11% 13% 23
	76	+	24
	77	+	Over $15,000 25
	78	+	up to $24,000 8%6.3% 11.5%8% 9.8% 11.5% 26
	79	+	27
	80	+	Over $24,000 7%5.5% 10%7% 8.5% 10% 28
	81	+	29
	82	+	Married 30
	83	+	Filing 31
	84	+	Separately Up to $12,500 9%7% 13%9% 11% 13% 32
	85	+	33
	86	+	Over $12,500 34
	87	+	up to $20,000 8%6.3% 11.5%8% 9.8% 11.5% 35
	88	+	36
	89	+	Over $20,000 7%5.5% 10%7% 8.5% 10% 37
	90	+	(b) Employment Related Expenses. – The amount of employment-related expenses for 38
	91	+	which a credit may be claimed may not exceed three thousand dollars ($3,000) if the taxpayer's 39
	92	+	household includes one qualifying individual, as defined in section 21(b)(1) of the Code, and 40
	93	+	may not exceed six thousand dollars ($6,000) if the taxpayer's household includes more than one 41
	94	+	qualifying individual. The amount of employment-related expenses for which a credit may be 42
	95	+	claimed is reduced by the amount of employer-provided dependent care assistance excluded from 43
	96	+	gross income. 44
	97	+	(c) Limitations. – A nonresident or part-year resident who claims the credit allowed by 45
	98	+	this section shall reduce the amount of the credit by multiplying it by the fraction calculated under 46
	99	+	G.S. 105-134.5(b) or (c), G.S. 105-153.4(b) or (c), as appropriate. No credit shall be allowed 47
	100	+	under this section for amounts deducted in calculating North Carolina taxable income. The credit 48
	101	+	allowed by this section may not exceed the amount of tax imposed by this Part for the taxable 49
	102	+	year reduced by the sum of all credits allowable, except for payments of tax made by or on behalf 50
	103	+	of the taxpayer." 51 General Assembly Of North Carolina Session 2025
	104	+	DRH30146-LUfa-3 Page 3
	105	+	1
	106	+	PART II. EXPAND NC PRE-K PROGRAM 2
	107	+	SECTION 2.1. There is appropriated from the General Fund to the Department of 3
	108	+	Health and Human Services, Division of Child Development and Early Education, the sum of 4
	109	+	two hundred million dollars ($200,000,000) in recurring funds for each year of the 2025-2027 5
	110	+	fiscal biennium for the North Carolina Prekindergarten (NC Pre-K) program to expand the 6
	111	+	number of slots by 32,000 and cover all eligible children 4 years of age. 7
	112	+	8
	113	+	PART III. INCREASE SUBSIDIZED CHILD CARE FUNDING 9
	114	+	SECTION 3.1. There is appropriated from the General Fund to the Department of 10
	115	+	Health and Human Services, Division of Child Development and Early Education, the sum of 11
	116	+	thirty-five million dollars ($35,000,000) in recurring funds for each year of the 2025-2027 fiscal 12
	117	+	biennium to increase funding for subsidized child care. 13
62	118		14
63		-	Surviving 15
64		-	Spouse or 16
65		-	Joint Return Up to $25,000 9%7% 13%9% 11% 13% 17
66		-	18
67		-	Over $25,000 19
68		-	up to $40,000 8%6.3% 11.5%8% 9.8% 11.5% 20
69		-	21
70		-	Over $40,000 7%5.5% 10%7% 8.5% 10% 22
71		-	23
72		-	Single Up to $15,000 9%7% 13%9% 11% 13% 24
73		-	25
74		-	Over $15,000 26
75		-	up to $24,000 8%6.3% 11.5%8% 9.8% 11.5% 27
76		-	28
77		-	Over $24,000 7%5.5% 10%7% 8.5% 10% 29
78		-	30
79		-	Married 31
80		-	Filing 32
81		-	Separately Up to $12,500 9%7% 13%9% 11% 13% 33
82		-	34
83		-	Over $12,500 35
84		-	up to $20,000 8%6.3% 11.5%8% 9.8% 11.5% 36
85		-	37
86		-	Over $20,000 7%5.5% 10%7% 8.5% 10% 38
87		-	(b) Employment Related Expenses. – The amount of employment-related expenses for 39
88		-	which a credit may be claimed may not exceed three thousand dollars ($3,000) if the taxpayer's 40
89		-	household includes one qualifying individual, as defined in section 21(b)(1) of the Code, and 41
90		-	may not exceed six thousand dollars ($6,000) if the taxpayer's household includes more than one 42
91		-	qualifying individual. The amount of employment-related expenses for which a credit may be 43
92		-	claimed is reduced by the amount of employer-provided dependent care assistance excluded from 44
93		-	gross income. 45
94		-	(c) Limitations. – A nonresident or part-year resident who claims the credit allowed by 46
95		-	this section shall reduce the amount of the credit by multiplying it by the fraction calculated under 47
96		-	G.S. 105-134.5(b) or (c), G.S. 105-153.4(b) or (c), as appropriate. No credit shall be allowed 48
97		-	under this section for amounts deducted in calculating North Carolina taxable income. The credit 49
98		-	allowed by this section may not exceed the amount of tax imposed by this Part for the taxable 50 General Assembly Of North Carolina Session 2025
99		-	House Bill 316-First Edition Page 3
100		-	year reduced by the sum of all credits allowable, except for payments of tax made by or on behalf 1
101		-	of the taxpayer." 2
102		-	3
103		-	PART II. EXPAND NC PRE-K PROGRAM 4
104		-	SECTION 2.1. There is appropriated from the General Fund to the Department of 5
105		-	Health and Human Services, Division of Child Development and Early Education, the sum of 6
106		-	two hundred million dollars ($200,000,000) in recurring funds for each year of the 2025-2027 7
107		-	fiscal biennium for the North Carolina Prekindergarten (NC Pre-K) program to expand the 8
108		-	number of slots by 32,000 and cover all eligible children 4 years of age. 9
109		-	10
110		-	PART III. INCREASE SUBSIDIZED CHILD CARE FUNDING 11
111		-	SECTION 3.1. There is appropriated from the General Fund to the Department of 12
112		-	Health and Human Services, Division of Child Development and Early Education, the sum of 13
113		-	thirty-five million dollars ($35,000,000) in recurring funds for each year of the 2025-2027 fiscal 14
114		-	biennium to increase funding for subsidized child care. 15
115		-	16
116		-	PART IV. FUND PUBLIC SCHOOL LUNCHES 17
117		-	SECTION 4.1. G.S. 115C-263 reads as rewritten: 18
118		-	"§ 115C-263. School nutrition services. 19
119		-	(a) As a part of the function of the public school system, local boards of education public 20
120		-	school units shall have a school food authority to provide to the extent practicable school nutrition 21
121		-	services in the schools under their jurisdiction. jurisdiction by offering students lunch at no cost 22
122		-	to the student. A school food authority may offer students a breakfast option at a cost to the 23
123		-	student, unless the student is eligible for the School Breakfast Program. All school nutrition 24
124		-	services made available under this authority shall be provided in accordance with federal 25
125		-	guidelines established by the Food and Nutrition Service of the United States Department of 26
126		-	Agriculture. 27
127		-	(b) The To the extent that funds are made available for the purpose, the State Board of 28
128		-	Education shall allocate funds to school food authorities at public school units for the purpose of 29
129		-	providing healthy lunches at no cost to students. In issuing the allocation, the Board shall do the 30
130		-	following: 31
131		-	(1) Determine the amount to allocate to each school food authority based on an 32
132		-	evaluation of the authority's nutrition services. The Board shall develop the 33
133		-	method and criteria for the evaluation, which at a minimum shall account for 34
134		-	the following: 35
135		-	a. The size of the schools served by the school food authority as 36
136		-	determined by Average Daily Membership. 37
137		-	b. The number of students that are eligible for free or reduced-price lunch 38
138		-	and the estimated receipts from the National School Lunch Program. 39
139		-	c. The funds actually expended in the prior year, which may be waived 40
140		-	if the school food authority was not in operation in the year prior. 41
141		-	d. The extent to which the nutrition services promote health and wellness 42
142		-	by providing food that is of high quality and nutrient content. 43
143		-	e. The extent to which the school food authority uses locally sourced 44
144		-	food and products. 45
145		-	f. Any other information the Board deems relevant to the cost and 46
146		-	operation of the nutrition services. 47
147		-	(2) Ensure the funds are distributed on a fair and equitable basis. 48
148		-	(3) Issue the allocation at the beginning of each fiscal year, except that the Board 49
149		-	may reserve for future allocation a reasonable amount, not to exceed ten 50
150		-	percent (10%) of the total funds available for providing nutrition services. 51 General Assembly Of North Carolina Session 2025
151		-	Page 4 House Bill 316-First Edition
152		-	(c) The State Board of Education may adopt rules regulating the provision of school 1
153		-	nutrition that impose additional restrictions that are not inconsistent with the federal guidelines. 2
154		-	(d) Funds allocated pursuant to this section shall supplement and not supplant any other 3
155		-	funds from any other source provided for the same purpose." 4
156		-	SECTION 4.2. G.S. 115C-264(a) reads as rewritten: 5
157		-	"(a) Local boards of education operating school nutrition programs shall participate in the 6
158		-	federal National School Lunch Program established by the federal government. and, if eligible, 7
159		-	the Community Eligibility Provision Program. School nutrition programs shall be under the 8
160		-	jurisdiction of the Division of School Nutrition of the Department of Public Instruction." 9
161		-	SECTION 4.3 G.S. 115C-218.75 is amended by adding a new subsection to read: 10
162		-	"(p) A charter school shall provide school nutrition services in accordance with 11
163		-	G.S. 115C-263 and G.S. 115C-264." 12
164		-	SECTION 4.4. G.S. 115C-238.72(b) reads as rewritten: 13
165		-	"(b) Food Nutrition Service. – The local school administrative unit identified by resolution 14
166		-	shall provide, to the extent practicable, school food provide school nutrition services to the 15
167		-	regional school. school in accordance with G.S. 115C-263 and G.S. 115C-264. For purposes of 16
168		-	federal funding through the National School Lunch Program or other federally supported food 17
169		-	nutrition service programs, the local school administrative unit identified by resolution shall be 18
170		-	permitted to include eligible students enrolled in the regional school. Other participating units 19
171		-	shall not include students enrolled in the regional school for purposes of federally supported food 20
172		-	nutrition service programs." 21
173		-	SECTION 4.5. G.S. 115C-150.14 is amended by adding a new subsection to read: 22
174		-	"(a1) A school governed by this Article shall provide school nutrition services in 23
175		-	accordance with G.S. 115C-263 and G.S. 115C-264." 24
176		-	SECTION 4.6. G.S. 116-239.8(b)(4)c. reads as rewritten: 25
177		-	"c. Food Nutrition Services. – The laboratory school shall strive to ensure 26
178		-	that one hundred percent (100%) muscadine grape juice is made 27
179		-	available to students as a part of the school's nutrition program or 28
180		-	through the operation of the school's vending facilities. Laboratory 29
181		-	schools shall provide school nutrition services in accordance with 30
182		-	G.S. 115C-263 and G.S. 115C-264. Upon request, the local school 31
183		-	administrative unit in which the laboratory school is located shall 32
184		-	administer the National School Lunch Program for the laboratory 33
185		-	school in accordance with G.S. 115C-264.school." 34
186		-	SECTION 4.7. There is appropriated from the General Fund to the Department of 35
187		-	Public Instruction the sum of one hundred fifteen million dollars ($115,000,000) in recurring 36
188		-	funds for the 2025-2026 fiscal year to provide lunch to students in public school units at no cost 37
189		-	to the students in accordance with this section. Should this appropriation not be sufficient to 38
190		-	fulfill the provisions of this section for the 2025-2026 fiscal year, the State Board of Education 39
191		-	may use funds appropriated to State Aid for Public Schools for this purpose. 40
192		-	SECTION 4.8. There is appropriated from the General Fund to the Department of 41
193		-	Public Instruction the sum of three million one hundred sixty-six thousand six hundred dollars 42
194		-	($3,166,600) in nonrecurring funds for the 2025-2026 fiscal year to satisfy any outstanding 43
195		-	school nutrition program debt. Should this appropriation not be sufficient to satisfy all school 44
196		-	nutrition program debt by the end of the 2025-2026 fiscal year, the State Board of Education 45
197		-	shall use funds appropriated to State Aid for Public Schools for this purpose. 46
198		-	SECTION 4.9. The State Board of Education is granted authority to adopt temporary 47
199		-	rules to enact this section until permanent rules are adopted. 48
200		-	49
201		-	PART V. FUNDS FOR PU BLIC CHILD CARE PROV IDED BY COMMUNITY 50
202		-	COLLEGES 51 General Assembly Of North Carolina Session 2025
203		-	House Bill 316-First Edition Page 5
204		-	SECTION 5.1. Appropriation. – There is appropriated from the General Fund to the 1
205		-	Community Colleges System Office the sum of ten million dollars ($10,000,000) in nonrecurring 2
206		-	funds for the 2025-2026 fiscal year to be allocated in accordance with this section among 3
207		-	community colleges with an active child care program that is available to the public to support 4
208		-	and maintain that program. The State Board of Community Colleges shall adopt a formula for 5
209		-	allocating these funds. Funds shall be allocated based on the number of children served by the 6
210		-	program, and the State Board shall prioritize the award of funds based on the financial needs of 7
211		-	the program. These funds shall not revert at the end of the 2025-2026 fiscal year but shall remain 8
212		-	available until expended. 9
213		-	SECTION 5.2. Report. – Any community college that does not have a publicly 10
214		-	available child care program shall report to the State Board of Community Colleges on the 11
215		-	feasibility and advisability of implementing a publicly available child care program at that 12
216		-	community college, including recommendations for implementing such a child care program, 13
217		-	estimated costs, and barriers to implementation. The State Board shall aggregate that information 14
218		-	and report it to the Joint Legislative Education Oversight Committee no later than March 31, 15
219		-	2026. 16
220		-	17
221		-	PART VI. REPORT ON H IGH SCHOOL CHILD CAR E APPRENTICESHIP 18
222		-	PROGRAM 19
223		-	SECTION 6.1. No later than December 31, 2026, the Department of Public 20
224		-	Instruction, in consultation with each partner agency, shall report to the Joint Legislative 21
225		-	Education Oversight Committee on the feasibility and advisability of implementing a child care 22
226		-	apprenticeship program in public high schools. The report shall include at least the following 23
227		-	information: 24
228		-	(1) Estimated costs and a time line for implementing a statewide or regional child 25
229		-	care apprenticeship program. 26
230		-	(2) Expected student and community impacts of a child care apprenticeship 27
231		-	program, including impacts on student performance, attrition, well-being, and 28
232		-	any other factor the Department deems relevant to the report. 29
233		-	SECTION 6.2. No later than February 28, 2027, the Joint Legislative Education 30
234		-	Oversight Committee shall hold a committee meeting and receive an in-person presentation from 31
235		-	the Department, in partnership with each partner agency, on the report provided pursuant to 32
236		-	Section 6.1 of this act. 33
237		-	SECTION 6.3. For purposes of this section, the term "partner agency" shall refer to 34
238		-	the Department of Health and Human Services, the Board of Governors of The University of 35
239		-	North Carolina, and the State Board of Community Colleges. 36
240		-	37
241		-	PART VII. EFFECTIVE DATE 38
242		-	SECTION 7.1. Part I of this act is effective for taxable years beginning on or after 39
243		-	January 1, 2025. The remainder of this act becomes effective July 1, 2025. 40
	119	+	PART IV. FUND PUBLIC SCHOOL LUNCHES 15
	120	+	SECTION 4.1. G.S. 115C-263 reads as rewritten: 16
	121	+	"§ 115C-263. School nutrition services. 17
	122	+	(a) As a part of the function of the public school system, local boards of education public 18
	123	+	school units shall have a school food authority to provide to the extent practicable school nutrition 19
	124	+	services in the schools under their jurisdiction. jurisdiction by offering students lunch at no cost 20
	125	+	to the student. A school food authority may offer students a breakfast option at a cost to the 21
	126	+	student, unless the student is eligible for the School Breakfast Program. All school nutrition 22
	127	+	services made available under this authority shall be provided in accordance with federal 23
	128	+	guidelines established by the Food and Nutrition Service of the United States Department of 24
	129	+	Agriculture. 25
	130	+	(b) The To the extent that funds are made available for the purpose, the State Board of 26
	131	+	Education shall allocate funds to school food authorities at public school units for the purpose of 27
	132	+	providing healthy lunches at no cost to students. In issuing the allocation, the Board shall do the 28
	133	+	following: 29
	134	+	(1) Determine the amount to allocate to each school food authority based on an 30
	135	+	evaluation of the authority's nutrition services. The Board shall develop the 31
	136	+	method and criteria for the evaluation, which at a minimum shall account for 32
	137	+	the following: 33
	138	+	a. The size of the schools served by the school food authority as 34
	139	+	determined by Average Daily Membership. 35
	140	+	b. The number of students that are eligible for free or reduced-price lunch 36
	141	+	and the estimated receipts from the National School Lunch Program. 37
	142	+	c. The funds actually expended in the prior year, which may be waived 38
	143	+	if the school food authority was not in operation in the year prior. 39
	144	+	d. The extent to which the nutrition services promote health and wellness 40
	145	+	by providing food that is of high quality and nutrient content. 41
	146	+	e. The extent to which the school food authority uses locally sourced 42
	147	+	food and products. 43
	148	+	f. Any other information the Board deems relevant to the cost and 44
	149	+	operation of the nutrition services. 45
	150	+	(2) Ensure the funds are distributed on a fair and equitable basis. 46
	151	+	(3) Issue the allocation at the beginning of each fiscal year, except that the Board 47
	152	+	may reserve for future allocation a reasonable amount, not to exceed ten 48
	153	+	percent (10%) of the total funds available for providing nutrition services. 49
	154	+	(c) The State Board of Education may adopt rules regulating the provision of school 50
	155	+	nutrition that impose additional restrictions that are not inconsistent with the federal guidelines. 51 General Assembly Of North Carolina Session 2025
	156	+	Page 4 DRH30146-LUfa-3
	157	+	(d) Funds allocated pursuant to this section shall supplement and not supplant any other 1
	158	+	funds from any other source provided for the same purpose." 2
	159	+	SECTION 4.2. G.S. 115C-264(a) reads as rewritten: 3
	160	+	"(a) Local boards of education operating school nutrition programs shall participate in the 4
	161	+	federal National School Lunch Program established by the federal government. and, if eligible, 5
	162	+	the Community Eligibility Provision Program. School nutrition programs shall be under the 6
	163	+	jurisdiction of the Division of School Nutrition of the Department of Public Instruction." 7
	164	+	SECTION 4.3 G.S. 115C-218.75 is amended by adding a new subsection to read: 8
	165	+	"(p) A charter school shall provide school nutrition services in accordance with 9
	166	+	G.S. 115C-263 and G.S. 115C-264." 10
	167	+	SECTION 4.4. G.S. 115C-238.72(b) reads as rewritten: 11
	168	+	"(b) Food Nutrition Service. – The local school administrative unit identified by resolution 12
	169	+	shall provide, to the extent practicable, school food provide school nutrition services to the 13
	170	+	regional school. school in accordance with G.S. 115C-263 and G.S. 115C-264. For purposes of 14
	171	+	federal funding through the National School Lunch Program or other federally supported food 15
	172	+	nutrition service programs, the local school administrative unit identified by resolution shall be 16
	173	+	permitted to include eligible students enrolled in the regional school. Other participating units 17
	174	+	shall not include students enrolled in the regional school for purposes of federally supported food 18
	175	+	nutrition service programs." 19
	176	+	SECTION 4.5. G.S. 115C-150.14 is amended by adding a new subsection to read: 20
	177	+	"(a1) A school governed by this Article shall provide school nutrition services in 21
	178	+	accordance with G.S. 115C-263 and G.S. 115C-264." 22
	179	+	SECTION 4.6. G.S. 116-239.8(b)(4)c. reads as rewritten: 23
	180	+	"c. Food Nutrition Services. – The laboratory school shall strive to ensure 24
	181	+	that one hundred percent (100%) muscadine grape juice is made 25
	182	+	available to students as a part of the school's nutrition program or 26
	183	+	through the operation of the school's vending facilities. Laboratory 27
	184	+	schools shall provide school nutrition services in accordance with 28
	185	+	G.S. 115C-263 and G.S. 115C-264. Upon request, the local school 29
	186	+	administrative unit in which the laboratory school is located shall 30
	187	+	administer the National School Lunch Program for the laboratory 31
	188	+	school in accordance with G.S. 115C-264.school." 32
	189	+	SECTION 4.7. There is appropriated from the General Fund to the Department of 33
	190	+	Public Instruction the sum of one hundred fifteen million dollars ($115,000,000) in recurring 34
	191	+	funds for the 2025-2026 fiscal year to provide lunch to students in public school units at no cost 35
	192	+	to the students in accordance with this section. Should this appropriation not be sufficient to 36
	193	+	fulfill the provisions of this section for the 2025-2026 fiscal year, the State Board of Education 37
	194	+	may use funds appropriated to State Aid for Public Schools for this purpose. 38
	195	+	SECTION 4.8. There is appropriated from the General Fund to the Department of 39
	196	+	Public Instruction the sum of three million one hundred sixty-six thousand six hundred dollars 40
	197	+	($3,166,600) in nonrecurring funds for the 2025-2026 fiscal year to satisfy any outstanding 41
	198	+	school nutrition program debt. Should this appropriation not be sufficient to satisfy all school 42
	199	+	nutrition program debt by the end of the 2025-2026 fiscal year, the State Board of Education 43
	200	+	shall use funds appropriated to State Aid for Public Schools for this purpose. 44
	201	+	SECTION 4.9. The State Board of Education is granted authority to adopt temporary 45
	202	+	rules to enact this section until permanent rules are adopted. 46
	203	+	47
	204	+	PART V. FUNDS FOR PUBLIC CHILD CARE PROVIDED BY COMMUNITY 48
	205	+	COLLEGES 49
	206	+	SECTION 5.1. Appropriation. – There is appropriated from the General Fund to the 50
	207	+	Community Colleges System Office the sum of ten million dollars ($10,000,000) in nonrecurring 51 General Assembly Of North Carolina Session 2025
	208	+	DRH30146-LUfa-3 Page 5
	209	+	funds for the 2025-2026 fiscal year to be allocated in accordance with this section among 1
	210	+	community colleges with an active child care program that is available to the public to support 2
	211	+	and maintain that program. The State Board of Community Colleges shall adopt a formula for 3
	212	+	allocating these funds. Funds shall be allocated based on the number of children served by the 4
	213	+	program, and the State Board shall prioritize the award of funds based on the financial needs of 5
	214	+	the program. These funds shall not revert at the end of the 2025-2026 fiscal year but shall remain 6
	215	+	available until expended. 7
	216	+	SECTION 5.2. Report. – Any community college that does not have a publicly 8
	217	+	available child care program shall report to the State Board of Community Colleges on the 9
	218	+	feasibility and advisability of implementing a publicly available child care program at that 10
	219	+	community college, including recommendations for implementing such a child care program, 11
	220	+	estimated costs, and barriers to implementation. The State Board shall aggregate that information 12
	221	+	and report it to the Joint Legislative Education Oversight Committee no later than March 31, 13
	222	+	2026. 14
	223	+	15
	224	+	PART VI. REPORT ON HIGH SCHOOL CHILD CARE APPRENTICESHIP 16
	225	+	PROGRAM 17
	226	+	SECTION 6.1. No later than December 31, 2026, the Department of Public 18
	227	+	Instruction, in consultation with each partner agency, shall report to the Joint Legislative 19
	228	+	Education Oversight Committee on the feasibility and advisability of implementing a child care 20
	229	+	apprenticeship program in public high schools. The report shall include at least the following 21
	230	+	information: 22
	231	+	(1) Estimated costs and a time line for implementing a statewide or regional child 23
	232	+	care apprenticeship program. 24
	233	+	(2) Expected student and community impacts of a child care apprenticeship 25
	234	+	program, including impacts on student performance, attrition, well-being, and 26
	235	+	any other factor the Department deems relevant to the report. 27
	236	+	SECTION 6.2. No later than February 28, 2027, the Joint Legislative Education 28
	237	+	Oversight Committee shall hold a committee meeting and receive an in-person presentation from 29
	238	+	the Department, in partnership with each partner agency, on the report provided pursuant to 30
	239	+	Section 6.1 of this act. 31
	240	+	SECTION 6.3. For purposes of this section, the term "partner agency" shall refer to 32
	241	+	the Department of Health and Human Services, the Board of Governors of The University of 33
	242	+	North Carolina, and the State Board of Community Colleges. 34
	243	+	35
	244	+	PART VII. EFFECTIVE DATE 36
	245	+	SECTION 7.1. Part I of this act is effective for taxable years beginning on or after 37
	246	+	January 1, 2025. The remainder of this act becomes effective July 1, 2025. 38