HB 341 increases property tax relief for disabled veterans in North Carolina by expanding the homestead exclusion on their primary residence. The bill sets exclusion amounts based on disability rating: $100,000 for 70%+ disability, $75,000 for 50-69%, $50,000 for 30-49%, and $25,000 for 10-29%. Surviving spouses qualify for the greater of the veteran’s exclusion amount or $45,000, provided the veteran’s death resulted from a service-connected condition. This policy directly affects qualifying disabled veterans and their surviving spouses who own and occupy their primary residence, effective for taxes due in 2025.
SB 285 authorizes supplemental funding for teacher and qualifying school administrator salary supplements in North Carolina for the 2025-2027 fiscal biennium, specifically including Guilford County Schools as an eligible recipient. The bill establishes a funding formula based on county-specific factors like property values, household income, and tax rates to determine allocations, with a maximum of $5,000 per State-funded teacher. Eligible school districts must use these funds to supplement, not replace, existing non-State funding for teacher salaries. The bill directly affects teachers and administrators in eligible school districts across the state, with Guilford County explicitly named as an eligible jurisdiction.
SB 288 appropriates $150,000 in one-time state funds for the Pauli Murray Center for History and Social Justice in Durham. The bill directs these funds to develop the "Pauli Murray Center Green," which will improve physical access to the center while also providing stormwater drainage systems. The funds are allocated for the 2025-2026 fiscal year and become effective July 1, 2025. This is a funding bill, not a policy change, directly supporting the center's infrastructure.
SB 303 repeals North Carolina's service tax, which previously applied to certain services like repairs, maintenance, installation, and service contracts. This directly affects retailers and service providers who collected this tax on qualifying transactions. The bill removes specific tax code provisions (including those governing real property services and bundled transactions) and makes necessary adjustments to other related tax laws. The repeal would eliminate the tax obligation for businesses and customers involved in these service transactions.
This bill reinstates North Carolina's Earned Income Tax Credit (EITC) program, which provides a state tax credit to low-income workers who qualify for the federal EITC. It sets the state credit at 5% of the federal credit amount (down from 4.5% in 2013), making it refundable so eligible taxpayers receive cash even if they owe no state tax. The credit applies to tax years beginning January 1, 2025, and continues a program that expired after 2013. The bill does not change eligibility rules or create new benefits - it simply reenacts the prior policy structure.
HB 420 allocates $4.3 million annually to fund teacher recruitment programs like "Grow-Your-Own" and "2+2" pathways in high-need schools, targeting efforts to recruit and prepare new educators. It requires the State Board of Education to develop a teacher licensure and compensation reform plan by March 2026, including pathways for new teachers and retention strategies. The bill also funds a study to expand educator preparation programs to graduate 5,000 in-state teachers annually, with a focus on increasing diversity among educators. These provisions directly affect public schools, teacher preparation programs, and prospective teachers through new funding streams and policy requirements.
HB 447 appropriates $34 million from North Carolina's General Fund to the Town of Kernersville for the Kernersville Event Center. This funding, designated for the 2025-2026 fiscal year, is a directed grant specifically for the event center project. The bill directly affects the Town of Kernersville, which will receive the funds to support the center's development or operations. The key provision is the state allocation of nonrecurring funds to a specific local facility, effective July 1, 2025.
HB 436 allows North Carolina counties to let property owners pay property assessments in semiannual or annual installments instead of one lump sum. Counties can choose between two payment schedules: either tied to annual property tax due dates or starting 60 days after assessment confirmation, with up to 10 semiannual or 20 annual payments allowed. This directly affects property owners in counties that adopt the option, providing more flexible payment timing. The bill amends existing law to give counties this authority and applies to assessments confirmed after it becomes law.
SB 334 repeals North Carolina's drug tax, which was levied on certain pharmaceutical products. It directly affects taxpayers who paid this tax on medications subject to the levy. The bill removes the tax provision from state law but does not change existing tax liabilities or refund claims for taxes paid before the repeal took effect. This is a straightforward repeal with no new provisions or mechanisms.
HB 457 increases state funding for small county school systems in North Carolina by revising their base allotment schedule. It directly affects counties with student enrollments between 0-3,300 students per school administrative unit, raising their annual funding amounts - such as increasing the base allotment from $1,820,000 to $2,548,000 for counties with 0-1,300 students. The bill appropriates $20,961,180 in recurring funds from the General Fund for the 2025-2026 fiscal year to implement these changes. The new funding schedule takes effect on July 1, 2025, providing higher per-student support for eligible small counties.
