A BILL TO BE ENTITLED
AN ACT to provide the state board of community colleges and the board of governors of the university of north carolina the authority to determine ELIGIBILITY for INDIVIDUALS to qualify as residents for tuition purposes and be charged the in‑state tuition rate and to adopt rules for charging individuals in‑sTate tuition consistent with federal law.
The General Assembly of North Carolina enacts:
SECTION 1.  G.S. 115D‑39 reads as rewritten:
"§ 115D‑39.  Student tuition and fees.
(a)	The State Board of Community Colleges shall fix and regulate all tuition and fees charged to students for applying to or attending any institution pursuant to this Chapter.
The receipts from all student tuition and fees, other than student activity fees, shall be State funds and shall be deposited as provided by regulations of the State Board of Community Colleges.
The State Board of Community Colleges shall determine eligibility for individuals to qualify as a resident for tuition purposes and to be charged the in‑State tuition rate. The State Board shall adopt rules for eligibility for individuals to qualify as a resident for tuition purposes and to be charged the in‑State tuition rate that incorporate any requirements under federal law.

	
(d)	A community college may add the cost of textbooks purchased at the college's bookstore to the tuition rates established pursuant to subsection (a) of this section for all purposes associated with billing the armed services for the enrollment of members of the armed services, as described in G.S. 143B‑1224, if the student's branch of the armed services permits the addition of textbooks to tuition costs in its tuition assistance program. The college may retain the funds attributable to the cost of the textbooks."
SECTION 2.  G.S. 116‑11(7) reads as rewritten:
"(7)	The Board shall set tuition and required fees at the institutions, not inconsistent with actions of the General Assembly. The Board shall determine eligibility for individuals to qualify as a resident for tuition purposes and to be charged the in‑State tuition rate. The Board shall adopt rules for eligibility for individuals to qualify as a resident for tuition purposes and to be charged the in‑State tuition rate that incorporate any requirements under federal law."
SECTION 3.  G.S. 116‑143.1 is repealed.
SECTION 4.  G.S. 116‑143.3 is repealed.
SECTION 5.  G.S. 116‑143.3A is repealed.
SECTION 6.  G.S. 116‑11(10a) reads as rewritten:
"(10a)	The Board of Governors, the State Board of Community Colleges, and the State Board of Education, in consultation with nonprofit postsecondary educational institutions shall plan a system to provide an exchange of information among the public schools and institutions of higher education to be implemented no later than June 30, 1995. As used in this section, "institutions of higher education" shall mean (i) constituent institutions of The University of North Carolina and the community colleges under the jurisdiction of the State Board of Community Colleges and (ii) those nonprofit postsecondary educational institutions as described in G.S. 116‑280 that choose to participate in the information exchange. The information shall include:
…."
SECTION 7.  G.S. 116‑143.4 reads as rewritten:
"§ 116‑143.4.  Admissions status of persons charged in‑State tuition.
A person eligible for the in‑State tuition rate pursuant to this Article shall be considered an in‑State applicant for the purpose of admission."
SECTION 8.  G.S. 116‑201(b)(11) reads as rewritten:
"(11)	"Student," with respect to scholarships, grants, and work‑study programs, means a resident of the State for tuition purposes in accordance with definitions of residency prescribed by the Board of Governors of The University of North Carolina, who, under regulations adopted by the Authority, has enrolled or will enroll in an eligible institution for the purpose of pursuing his education beyond the high school level, who is making suitable progress in his education in accordance with standards acceptable to the Authority and, for the purposes of G.S. 116‑209.19, who has not received a bachelor's degree, or qualified for it and who is otherwise classified as an undergraduate under those regulations that the Authority may promulgate;"
SECTION 9.  G.S. 116‑235(b)(1) reads as rewritten:
"(1)	Admission of Students. – The School shall admit students in accordance with criteria, standards, and procedures established by the Board of Trustees. To be eligible to be considered for admission, an applicant must be either deemed a resident for tuition purposes or a student whose parent is an active duty member of the Armed Forces, as defined by G.S. 143B‑1224(2), who is abiding in this State incident to active military duty at the time the application is submitted, provided the student shares the abode of that parent; eligibility to remain enrolled in the School shall terminate at the end of any school year during which a student becomes a nonresident of the State. The Board of Trustees shall ensure, insofar as possible without jeopardizing admission standards, that an equal number of qualified applicants is admitted to the program and to the residential summer institutes in science and mathematics from each of North Carolina's congressional districts. In no event shall the differences in the number of qualified applicants offered admission to the program from each of North Carolina's congressional districts be more than two and one‑half percentage points from the average number per district who are offered admission."
SECTION 10.  G.S. 116‑280 reads as rewritten:
"§ 116‑280.  Definitions.
The following definitions apply to this Article:
(1)	Academic year. – A period of time in which a student is expected to complete the equivalent of at least two semesters' or three quarters' academic work.
(1a)	Armed Forces. – As defined in G.S. 143B‑1224(2).
(2)	Authority. – The State Education Assistance Authority created by Article 23 of Chapter 116 of the General Statutes.
(3)	Eligible private postsecondary institution. – A school that is any of the following:
a.	A nonprofit postsecondary educational institution with a main permanent campus located in this State that is not owned or operated by the State of North Carolina or by an agency or political subdivision of the State or by any combination thereof that satisfies all of the following:
1.	Is accredited by the Southern Association of Colleges and Schools under the standards of the College Delegate Assembly of the Association or by the New England Association of Schools and Colleges through its Commission on Institutions of Higher Education.
2.	Awards a postsecondary degree as defined in G.S. 116‑15.
b.	A postsecondary institution owned or operated by a hospital authority as defined in G.S. 131E‑16(14) or school of nursing affiliated with a nonprofit postsecondary educational institution as defined in sub‑subdivision a. of this subsection.
(4)	Main permanent campus. – A campus owned by the eligible private postsecondary institution that provides permanent on‑premises housing, food services, and classrooms with full‑time faculty members and administration that engages in postsecondary degree activity as defined in G.S. 116‑15.
(5)	Matriculated status. – Being recognized as a student in a defined program of study leading to a degree, diploma, or certificate at an eligible private postsecondary institution.
(6)	Scholarship. – A scholarship for education awarded under this Article.
(7)	Title IV. – Title IV of the Higher Education Act of 1965, as amended, 20 U.S.C. § 1070, et seq.
(8)	Veteran. – A veteran as defined in G.S. 143B‑1224(7) who was discharged or released from service under conditions other than dishonorable."
SECTION 11.  G.S. 116‑281(3)a. reads as rewritten:
"a.	Qualify as a legal resident of North Carolina and as a resident for tuition purposes in accordance with definitions of residency adopted by the Board of Governors of The University of North Carolina."
SECTION 12.(a)  There is appropriated from the General Fund to the Board of Governors of The University of North Carolina the sum of one hundred thousand dollars ($100,000) in nonrecurring funds for the 2021‑2022 fiscal year to be used by the Board of Governors, in collaboration with the State Board of Community Colleges, to conduct a study to identify (i) potential student populations that may benefit from a change in residency status to allow students to qualify as residents for tuition purposes and be charged the in‑State tuition rate and (ii) the impact a change in residency status for those students would have on reaching the postsecondary attainment goal set forth in G.S. 116C‑10(b).
SECTION 12.(b)  By May 1, 2022, the Board of Governors of The University of North Carolina and the State Board of Community Colleges shall jointly report to the Joint Legislative Education Oversight Committee on the results of the study required by subsection (a) of this section and the rules adopted by each Board on the eligibility for individuals to qualify as a resident for tuition purposes and to be charged the in‑State tuition rate for the 2022‑2023 academic year.
SECTION 13.  This act becomes effective July 1, 2021, and applies beginning with the 2022‑2023 academic year.