Bill
SB 990
SB 990 creates privacy protections for public university disciplinary records, studies a weighted K-12 funding model, and pilots student-based education wallets for extracurricular
Date Filed: April 30, 2026
Primary Sponsors: Senators Lee (primary), Galey, Overcash
Co-sponsors: Senators Michael Lee, Amy Galey, Brad Overcash
Status: Filed; bill text outlines three main parts with funding provisions and an effective date of July 1, 2026 (subject to sections).
Purpose and overarching intent
- The bill comprises three substantive components:
1) Protect Campus Survivor’s Act (confidentiality protections for certain records in public higher education)
2) Establish a Weighted Student Funding Formula Work Group to study a shift toward a weighted funding model for K-12
3) Create a Pilot program for Student-Based Educational Wallets (SBEW) to fund eligible high school activities outside the traditional classroom
- It also appropriates funds to UNC and the State Education Assistance Authority (SEAA) to administer these initiatives.
Key provisions
Part I: Protect Campus Survivor’s Act
- Confidentiality enhancements for personally identifiable information and student disciplinary records at public institutions of higher education.
- Definitions (new/clarified):
- Personally Identifiable Information (PII) includes student name, family info, address, SSN, student number, biometric data, dates/places of birth, and any information linked to a specific student that could identify them.
- Personally Identifiable Student Disciplinary Records: Records related to disciplinary investigations/resolutions that contain PII and are maintained by public higher education institutions.
- Public Institutions Covered: UNC System Office, constituent UNC institutions, Community Colleges System Office, and community colleges.
- Student: Any individual who attends or has attended a public HEI and whose records are maintained by the institution.
- Exclusions from public records:
- Research data/records of proprietary nature not patented/published/copyrighted (not public records).
- Personally identifiable student disciplinary records remain non-public (even if FERPA disclosures would otherwise permit release).
- Effective date: Applies to requests for PII student disciplinary records submitted on or after the effective date.
Part II: Weighted Student Funding Formula Work Group
- Purpose: Create a work group to study and develop a strategy to transition North Carolina K-12 funding from an allotment-based model to a weighted student funding model (WSFM).
- Composition: Experts in public education finance, including DPI, BEST NC, and other stakeholders.
- Deliverable: By July 15, 2027, provide Joint Legislative Education Oversight Committee with a three-year strategy outlining:
- Options for implementation under WSFM:
- Consolidate non-teaching support funds into per-pupil allotments with flexibility.
- Convert teacher pay from position-based to per-ADM (average daily membership) pay to improve transparency and flexibility.
- Reallocate project/resource funding into designated line items.
- Determine consolidation of need-based funds into per-pupil figures.
- Include spending reporting and accountability.
- Potential transition of disbursement responsibilities from the Department of Public Instruction to the State Education Assistance Authority (SEAA).
- Funding: $300,000 (nonrecurring) from the General Fund for 2026-2027 to UNC Board of Governors (via NC Collaboratory) to support the Work Group.
Part III: Student-Based Educational Wallet Pilot Program (SBEW)
- Establishment: A Pilot starting in fiscal year 2027-2028, administered by SEAA in coordination with one public school unit (district) selected by the Authority.
- Purpose: Promote personalized learning paths and broaden access to enrichment by funding eligible activities outside traditional coursework, including credit-bearing experiences.
- Key definitions:
- Approved Provider, Credit-Bearing Activity, Eligible Activity, Eligible Student, Parental Agreement, Participating Public School Unit, Participating Student, Qualifying Educational Expenses, SBEW (electronic wallet).
- Selection and participation timeline:
- By Aug 1, 2026: Authority to establish process to select one public school unit.
- By Jan 1, 2027: Identify high school, eligible students, activities, and providers; parental agreement required; data-sharing agreement with Authority.
- By Feb 2, 2027: Applications opened for eligible students.
- By Apr 15, 2027: Eligible students admitted; lottery if funds insufficient.
- Funding mechanics:
- Funding amount: Up to $395 per participating student for the 2027-2028 school year.
- dollars allocated to SBEW must be used for qualifying educational expenses; parental agreement required.
- Electronic wallet provided to parent for disbursements; preapproval process for expenses; no requirement for expense reports on preapproved items.
- Administrative costs: Up to $50,000 may be retained by SEAA for pilot administration.
- Parental agreement requirements:
- Written electronic agreement; parents cannot delegate execution to others; failure to comply results in forfeiture of funds.
- Funds must be used for qualifying educational expenses only (no non-educational or personal item use).
- Credit review and accountability:
- Local public school units determine whether activities are credit-bearing.
- Data reporting timeline for funds usage; student can submit evidence (portfolios, competency-based evidence) to justify credit.
- Administration and compliance:
- SEAA and participating unit jointly administer wallets; potential contract with private firms for financial management; audits of SBEWs possible.
- Public records: Applications and PII related to participants are not public records.
- Reporting and evaluation:
- By Feb 15, 2028, a joint NC Collaboratory report to Joint Legislative Education Oversight Committee on:
- Number of participants and funds used
- Types of approved credit-bearing opportunities and credits earned
- Providers receiving funds and amounts awarded
- Funding: $445,000 (nonrecurring) from General Fund to UNC Board of Governors for SEAA to administer SBEW; funds available through end of 2027-2028 fiscal year.
Part IV: Effective Date
- General effective date: July 1, 2026, with specific sections applying as noted above.
Potential impacts and considerations
Effective date and sunset
- Most provisions would take effect July 1, 2026, with phased timelines for the Work Group reporting (by July 15, 2027) and the Pilot activities (planning beginning 2026-2027, implementation 2027-2028).
- Public records and privacy protections apply to the Pilot and its participants.
Note: This summary focuses on the substantive elements and potential implications of SB 990 as filed. For full legal effect, exact statutory language and any amendments adopted during the legislative process should be consulted.
Compiled from official sources — confirm details with the bill’s official record.
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