A BILL TO BE ENTITLED
AN ACT to make various changes to the higher education laws.
The General Assembly of North Carolina enacts:

part i. the north carolina community college system
SECTION 1.1.  Community colleges permitted to provide insurance in lieu of bond. – G.S. 115D‑58.10 reads as rewritten:
"§ 115D‑58.10.  Surety bonds and related insurance.
The State Board of Community Colleges shall determine what State employees and employees of institutions shall give bonds or be insured for the protection of State funds and property and the State Board is authorized to place the bonds, determine adequate insurance coverage, and pay the premiums thereon from State funds.
The board of trustees of each institution shall require all institutional employees authorized to draw or approve checks or vouchers drawn on local funds, and all persons authorized or permitted to receive institutional funds from whatever source, and all persons responsible for or authorized to handle institutional property, to be bonded by a surety company authorized to do business with the State in such amount as the board of trustees deems sufficient for the protection of such property and funds. In lieu of a bond, the board of trustees may obtain and maintain adequate insurance coverage sufficient for the protection of institutional funds and property. The tax‑levying authority of each institution shall provide the funds necessary for the payment of the premiums of the bonds or for insurance coverage."
SECTION 1.2.(a)  Codify the president's authority to reorganize. – G.S. 115D‑3 reads as rewritten:
"§ 115D‑3.  Community Colleges System Office; staff; reorganization authority.
(a)	The Community Colleges System Office shall be a principal administrative department of State government under the direction of the State Board of Community Colleges, and shall be separate from the free public school system of the State, the State Board of Education, and the Department of Public Instruction. The State Board has authority to adopt and administer all policies, regulations, and standards which it deems necessary for the operation of the System Office.
The State Board shall elect a President of the North Carolina System of Community Colleges who shall serve as chief administrative officer of the Community Colleges System Office. The compensation of this position shall be fixed by the State Board from funds provided by the General Assembly in the Current Operations Appropriations Act.
The President shall be assisted by such professional staff members as may be deemed necessary to carry out the provisions of this Chapter, who shall be elected by the State Board on nomination of the President. The compensation of the staff members elected by the Board shall be fixed by the State Board of Community Colleges, upon recommendation of the President of the Community College System, from funds provided in the Current Operations Appropriations Act. These staff members shall include such officers as may be deemed desirable by the President and State Board. Provision shall be made for persons of high competence and strong professional experience in such areas as academic affairs, public service programs, business and financial affairs, institutional studies and long‑range planning, student affairs, research, legal affairs, health affairs and institutional development, and for State and federal programs administered by the State Board. In addition, the President shall be assisted by such other employees as may be needed to carry out the provisions of this Chapter, who shall be subject to the provisions of Chapter 126 of the General Statutes. The staff complement shall be established by the State Board on recommendation of the President to insure that there are persons on the staff who have the professional competence and experience to carry out the duties assigned and to insure that there are persons on the staff who are familiar with the problems and capabilities of all of the principal types of institutions represented in the system. The State Board of Community Colleges shall have all other powers, duties, and responsibilities delegated to the State Board of Education affecting the Community Colleges System Office not otherwise stated in this Chapter.
(b)	Notwithstanding any other provision of law, the President may reorganize the System Office in accordance with recommendations and plans submitted to and approved by the State Board of Community Colleges. If a reorganization is implemented pursuant to the subsection, including any movement of positions and funds between fund codes on a recurring basis, the President shall report by March 1 of the fiscal year in which the reorganization occurred to the Joint Legislative Education Oversight Committee."
SECTION 1.2.(b)  This section becomes effective July 1, 2019.

part II. university of north carolina system
SECTION 2.1.(a)  UNC Laboratory Schools. – G.S. 116‑239.8(b)(4) reads as rewritten:
"(4)	Food and transportation services. – The local school administrative unit in which the laboratory school is located shall provide transportation to students who reside in the local school administrative unit and attend the laboratory school, including any students who are homeless and require assistance pursuant to 42 U.S.C. § 11301, et seq., the McKinney‑Vento Homeless Assistance Act. The requirement to provide transportation to students residing in the local school administrative unit shall (i) apply regardless of where a laboratory school student resides in the unit or how the unit's transportation policies and practices are applied to other students and (ii) includes providing transportation of students and personnel for laboratory school extracurricular activities and educational trips in the same manner as other schools in the unit for that school year. The local school administrative unit in which the laboratory school is located shall administer, at its cost, the National School Lunch Program for the laboratory school in accordance with G.S. 115C‑264. The chancellor shall arrange for the provision of these services from the local school administrative unit."
SECTION 2.1.(b)  G.S. 116‑239.5 is amended by adding a new subsection to read:
"(e)	In addition to all other immunities provided to them by applicable State law, the Subcommittee, chancellor, the constituent institution, an advisory board, and a laboratory school, and their members, employees, and agents, shall be entitled to the specific immunities provided for in Chapter 115C of the General Statutes applying to the State Board of Education, Superintendent of Public Instruction, a local board of education, a local school administrative unit, and their members and employees. Any such immunity to liability established by this subsection shall not extend to gross negligence, wanton conduct, or intentional wrongdoing that would otherwise be actionable. Immunity established by this subsection shall be deemed to be waived to the extent of indemnification under Articles 31A and 31B of Chapter 143 of the General Statutes, and to the extent sovereign immunity is waived under the Tort Claims Act, as set forth in Article 31 of Chapter 143 of the General Statutes."
SECTION 2.1.(c)  G.S. 116‑239.5(a) reads as rewritten:
"(a)	The Board of Governors, upon recommendation by the President, shall designate at least six constituent institutions to submit proposals to establish laboratory schools to serve public school students in accordance with the provisions of this Article. The Board of Governors shall select constituent institutions with high‑quality educator preparation programs as demonstrated by the annual performance measures reported by the constituent institutions in accordance with G.S. 115C‑296.35. The Board of Governors' Subcommittee on Laboratory Schools established under G.S. 116‑239.7 shall review the proposals and approve at least six of the proposals to establish laboratory schools. The Subcommittee shall oversee the operations of those laboratory schools to meet the purposes set forth in this Article."
SECTION 2.1.(d)  G.S. 116‑239.7(a1) reads as rewritten:
"(a1)	Approval of Laboratory Schools. – The Board of Governors, upon the recommendation of the President, shall designate at least six constituent institutions to establish and operate laboratory schools. The chancellor of each constituent institution shall adopt and submit to the Subcommittee a proposal to operate a laboratory school in a local school administrative unit that meets the minimum threshold for the number of low‑performing schools located in the unit under G.S. 116‑239.6(4). The proposal shall include the governance structure of the laboratory school. The Subcommittee shall evaluate the proposals for approval or disapproval by considering the design components and the strategic focus of the laboratory school and any other standards developed by the Subcommittee to be applicable to all laboratory schools. The Subcommittee shall also consider the location of each laboratory school so that, to the extent possible, there is a geographically diverse distribution of the laboratory schools throughout the State and a maximum of one laboratory school located in a qualifying local school administrative unit. From the proposals submitted to the Subcommittee, the Subcommittee shall approve the establishment of at least six laboratory schools."
SECTION 2.1.(e)  Section 11.6(d) of S.L. 2016‑94, as amended by Section 4 of S.L. 2017‑177, reads as rewritten:
"SECTION 11.6.(d)  Notwithstanding G.S. 116‑239.5, at least six laboratory schools shall be established pursuant to Article 29A of Chapter 116 of the General Statutes, as enacted by this section, and in operation by the beginning of the 2019‑2020 school year."
SECTION 2.1.(f)  Subsection (b) of this section applies to an action or omission of an action occurring on or after the date this act becomes law. Subsection (a) of this section applies beginning with the 2019‑2020 school year.
SECTION 2.2.(a)  Future Teachers of North Carolina. – G.S. 116‑41.30(b) reads as rewritten:
"(b)	Program. – FTNC shall be a selective, application‑based symposium for high school juniors and seniors, offering a challenging introduction to teaching as a profession. FTNC courses shall provide instruction on pedagogy, ethics and professionalism, child development, successful teaching strategies and classroom management practices, effective lesson planning, assessment and intervention, and requirements of teacher licensure. The FTNC Symposium should provide practical benefits to participating students, which may include interaction with current educators, administrators, and educator preparation program faculty members, a simulated student teaching experience, and information about financial aid and scholarship opportunities."
SECTION 2.2.(b)  G.S. 116‑41.31 reads as rewritten:
"§ 116‑41.31.  Oversight of Future Teachers of North Carolina.
(a)	FTNC System Office. – FTNC shall be administratively located in The University of North Carolina System Office. The President shall establish a Future Teachers of North Carolina Advisory Council (FTNC Council) to oversee the FTNC program. At the President's discretion, the FTNC Council shall coordinate with constituent institutions to utilize expertise from administrators, faculty, and staff members of institutions of higher education in designing the agenda and instructional content for the FTNC Symposium. The FTNC Council shall ensure diverse representation of the educator preparation programs represented at the FTNC Symposium. The FTNC Council shall also be responsible for creating an application process for interested high school students, reviewing submitted applications, selecting students to attend, and recruitment and outreach efforts.
	
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SECTION 2.2.(c)  G.S. 116‑41.32 reads as rewritten:
"§ 116‑41.32.  Future Teachers of North Carolina reporting.
The University of North Carolina System Office shall report annually, beginning October 15, 2020, on the following:
(1)	List of high schools and local school administrative units represented by participating students.
(1a)	Number of students who submitted an application to attend the FTNC Symposium.
(1b)	Number of students attending the FTNC Symposium, including distribution by region.
(2)	Demographic information of students attending the FTNC Symposium.
(2a)	Description of the event agenda and content.
(3)	Percentage of students who, after attending the FTNC Symposium, reported the following:
a.	The student plans to choose teaching as a profession.
a1.	The student plans to enroll in a community college, a constituent institution, a private postsecondary institution located in North Carolina, or a postsecondary institution located in another state.
b.	The FTNC Symposium was very or somewhat effective in helping the student formulate a positive perception of the education profession.
c.	The FTNC Symposium increased the student's knowledge of the teaching profession and other careers in education.

	
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SECTION 2.3.(a)  UNC Board of Governors Planning Task Force. – Section 36.6 of S.L. 2018‑5 reads as rewritten:
"SECTION 36.6.(a)  There is created the UNC Board of Governors Planning Task Force. The Task Force shall consist of four current Board members appointed by the Board of Governors, one of whom shall be designated as chair. These appointments shall be made no later than August 1, 2018.
"SECTION 36.6.(b)  The Task Force shall conduct a systemwide analysis of the capital needs of the campuses of each constituent institution in relation to the Science Technology Engineering and Mathematics (STEM) subject area, taking into account the strengths, weaknesses, opportunities, and needs of each constituent institution, and any regional similarities and differences. The Task Force shall also consider the impact of any relevant programmatic planning elements being currently utilized that could be implemented as a best‑practice among other similar programmatic areas to encourage systemwide efficiencies. In particular, the Task Force shall consider the capital needs relating to the Brody School of Medicine at East Carolina University, the UNC Applied Physical Sciences and Institute for Convergent Science in Chapel Hill, and other STEM projects to determine areas where capital funds may be used more efficiently and effectively. The Task Force shall use the information gathered pursuant to this subsection to compile a UNC System Plan.
"SECTION 36.6.(c)  The three million dollars ($3,000,000) appropriated to the Board of Governors of The University of North Carolina in Section 36.2 of this act shall be used by the Task Force in conducting the analysis described in subsection (b) of this section. The Task Force shall submit a preliminary report on or before April 1, 2019. On or before February 1, 2020, the Task Force shall submit a final report containing the UNC System Plan and any legislative recommendations to the Joint Legislative Capital Improvements Oversight Committee and the Fiscal Research Division.
"SECTION 36.6.(d)  The funds appropriated in Section 36.2 of this act to the Board of Governors for the Task Force for the 2018‑2019 fiscal year shall not revert at the end of the 2018‑2019 fiscal year but shall remain available until the end of the 2019‑2020 fiscal year for the purposes set forth in this section."
SECTION 2.3.(b)  This section becomes effective June 30, 2019.
SECTION 2.4.(a)  UNC Enrollment Growth Funds. – The funds appropriated by S.L. 2018‑5 for enrollment adjustments for The University of North Carolina, including funds for the NC Promise Tuition Plan, to a reserve account in the Office of State Budget and Management for the 2018‑2019 fiscal year shall not revert at the end of the 2018‑2019 fiscal year but shall remain available until the end of the 2019‑2020 fiscal year for the purpose of the "buy down" of any financial obligations resulting from the established tuition rate under G.S. 116‑143.11 incurred by Elizabeth City State University, the University of North Carolina at Pembroke, and Western Carolina University, or for rapid growth at any of those constituent institutions.
SECTION 2.4.(b)  This section becomes effective June 30, 2019.

Part iii. Effective date
SECTION 3.  Except as otherwise provided in this act, this act is effective when it becomes law.