North Carolina HB 373: DOL/Carolina Star Program.-AB

Bill Text

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025

SESSION LAW 2025-17
HOUSE BILL 373

*H373-v-4*
AN ACT TO PERMIT CONSTITUENT INSTITUTIONS OF THE UNIVERSITY OF NORTH
CAROLINA TO PROVIDE DISCOUNTED TUITION TO PERSONS RECEIVING
MILITARY TUITION ASSISTANCE OR PERSONS ENROLLED IN AN
EMPLOYER-SPONSORED FINANCIAL SUPPORT PROGRAM.

The General Assembly of North Carolina enacts:

SECTION 1. G.S. 116-143 reads as rewritten:
"§ 116-143. State-supported institutions of higher education required to charge tuition and
fees.
...
(c) Inasmuch as the giving of tuition and fee waivers, or especially reduced rates,
represent in effect a variety of scholarship awards, the said practice is hereby prohibited except
when expressly authorized by statute.
(d) Notwithstanding the above provision relating to the abolition of free tuition, the Board
of Governors of The University of North Carolina may, in its discretion, provide regulations
under which personnel may during the period of normal employment enroll in The University of
North Carolina free of charge for tuition and fees, provided such enrollment does not interfere
with normal employment obligations and further provided that such enrollments are not counted
for the purpose of receiving General Fund appropriations as follows:
(1) Except as provided in subdivision (2) of this subsection, a full-time faculty
member of the rank of full-time instructor or above and any full-time staff
member of The University of North Carolina may enroll in not more than three
courses per year.
(2) A full-time or part-time campus law enforcement officer may enroll in the
number of courses per year determined by regulation.
(d1) Notwithstanding subsection (c) of this section, the Board of Governors of The
University of North Carolina may do any of the following:
(1) Personnel. – Provide regulations under which personnel may enroll in The
University of North Carolina free of charge for tuition and fees during the
period of normal employment if the (i) enrollment does not interfere with
normal employment obligations and (ii) enrollments are not counted for the
purpose of receiving General Fund appropriations. Personnel may enroll free
of charge for tuition and fees as follows:
a. A full-time faculty member of the rank of full-time instructor or above
of The University of North Carolina may enroll in not more than three
courses per year.
b. A full-time staff member of The University of North Carolina may
enroll in more than three courses per year.
c. A full-time or part-time campus law enforcement officer may enroll in
the number of courses per year determined by regulation.

Page 2 Session Law 2025-17 House Bill 373
(2) Military students. – Allow constituent institutions, in their discretion, to
discount tuition to qualifying military students by an amount of up to the
difference in the maximum amount of military tuition assistance funds the
student receives and the applicable tuition. For purposes of this subdivision, a
qualifying military student is a student who meets the following criteria:
a. Is a resident for tuition purposes under G.S. 116-143.1.
b. Receives either (i) federal military tuition assistance funds or (ii)
military tuition assistance funds for members of the North Carolina
National Guard under Article 15 of Chapter 127A of the General
Statutes.
(3) Employer sponsorships. – Allow constituent institutions, in their discretion,
to discount tuition to students who are enrolled in an employer-sponsored
financial support program which has been approved by the Board of
Governors of The University of North Carolina. The discount may be up to
the difference in the maximum amount provided by the employer and the
applicable tuition. For purposes of this subdivision, an employer-sponsored
financial support program is a program in which the employer of a student has
committed to provide financial support to the student to offset the costs of
tuition or fees in the student's degree or credential program.
(d2) No later than February 15 of each year, the Board of Governors of The University of
North Carolina shall report to the Joint Legislative Education Oversight Committee and the Fiscal
Research Division on the discounted tuition provided in the previous academic year pursuant to
subdivisions (2) and (3) of subsection (d1) of this section, including at least the following
information:
(1) The number of students that receive a discount under subdivisions (2) and (3)
of subsection (d1) of this section.
(2) The annual financial impact on each constituent institution resulting from the
discounted tuition provided.
...."
SECTION 2. This act is effective when it becomes law and applies beginning with
the 2025-2026 academic year.
In the General Assembly read three times and ratified this the 19
th day of June, 2025.

s/ Rachel Hunt
President of the Senate

s/ Timothy Reeder, MD
Presiding Officer of the House of Representatives

s/ Josh Stein
Governor

Approved 9:15 a.m. this 26
th day of June, 2025