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SB 657

Relating to: noncompete clauses for medical practitioners.

2025-2026 Regular Session Introduced by Rachael Cabral-Guevara and 2 co-sponsors

Redirects $11M/year of sports-betting tax revenue to DPI to ensure eligible public-school athletic coaches receive at least $3,000 annually in total (state + non-state funds).

Failed to pass pursuant to Senate Joint Resolution 1
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Bill Summary · SB 657

SB 657 — "Keeping Our Coaches Act." (First Edition)

Status: Passed 1st Reading (Mar 25, 2025)
Introduced: 2025 (filed Mar 25, 2025)
Subject area: Education; Sports; Taxation / Lottery & Gaming revenue allocation

Main purpose

Allocate a recurring portion of sports-betting tax revenue to provide state salary supplements for public school athletic coaches — with the specific goal of ensuring each eligible coach receives at least $3,000 per year in combined State and non‑State supplement funds.

Key provisions

  • Revenue source and administration

    • Directs net tax proceeds from sports betting (per G.S. 105‑113.128), after administrative reimbursements, to specified priorities including a new annual allocation below.
    • The Department of Revenue may retain up to $500,000 per year for administration; the Lottery Commission is reimbursed for its administrative costs.

  • Coach salary supplement allocation

    • Creates an $11,000,000 annual allocation to the Department of Public Instruction (DPI).
    • DPI must allocate those funds to “eligible public school units” to provide salary supplements so that each “eligible athletic coach” receives at least $3,000 total per year (combined State + non‑State funds).

  • Eligibility and reporting

    • Eligible athletic coach: a person employed full‑time by a public school unit who serves as an athletic coach and who currently receives a non‑State supplement for coaching that is equal to or less than $3,000 per school year.
    • Eligible public school unit: must report to DPI by August 15 each year the amount of non‑State funds provided for coach supplements in the prior school year.

  • Local match / anti‑supplanting rule

    • A public school unit that provided non‑State coach supplement funds in the prior year must continue to provide at least that same non‑State amount.
    • If a district uses State funds to supplant (replace) previously provided non‑State supplement dollars, the district becomes ineligible for State supplement funds the following year.

  • Unexpended funds

    • Any unexpended funds from the $11M allocation at fiscal year end are to be allocated to the North Carolina Alliance of YMCAs, Inc., for youth sports programming.

Who is affected

  • Primary beneficiaries: full‑time public school athletic coaches who currently receive modest (≤ $3,000) non‑State supplements.
  • School districts / public school units: must report prior non‑State supplement levels, maintain non‑State contributions, and will receive DPI allocations.
  • DPI and Department of Revenue: responsible for allocation and distribution; Lottery Commission receives reimbursements for administration.
  • North Carolina Alliance of YMCAs: potential recipient of unexpended funds.

Fiscal and timeline notes

  • Funding level: $11,000,000 per year (from sports‑betting tax proceeds).
  • Effective date: becomes effective July 1, 2025, and applies beginning with the 2025–2026 school year.
  • Administrative cap: Department of Revenue may retain up to $500,000 annually for administration of the Article.

Potential impacts and considerations

  • Intended outcome: raise coach compensation modestly statewide to improve retention/recruitment and recognize coaching responsibilities.
  • Local fiscal behavior: districts that can no longer or choose not to continue prior non‑State supplements risk losing State supplement eligibility; may create pressure on small or low‑resource districts.
  • $11M cap limits statewide reach — amount per coach will depend on number of eligible coaches and local supplement levels.
  • Unexpended funds redirected to YMCA programs if not fully used for coach supplements.

This summary reflects the First Edition (North Carolina) version of SB 657 as filed for the 2025 session.

Compiled from official sources — confirm details with the bill’s official record.

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