H 373

GENERAL ASSEMBLY OF NORTH CAROLINA
  SESSION 2025
  SESSION LAW 2025-17
  HOUSE BILL 373
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.
  *H373-v-4*
  (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 19th 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 26th day of June, 2025
Page 2  Session Law 2025-17  House Bill 373