NC H561

Allows school boards to disclose confidential employee personnel files to state or federal administrative agencies and courts when necessary to defend against claims filed by current or former employees, limited to information relevant to the defense.

Expands school board subpoena authority to include subpoenas for production of tangible things (documents, records, electronic data, etc.) in investigations of employee job-related misconduct, subject to chief district court judge approval.

Requires the Program Evaluation Division to conduct a comprehensive study of the education funding dispute resolution process between local boards of education and county commissioners by May 1, 2017.

Study must examine funding request history, fund balance usage, mediation and litigation costs, current dispute resolution processes, and alternative funding methods used in other states.

Sections 1 and 2 become effective October 1, 2016; requires all state agencies, local governments, and school boards to provide necessary information and documents to support the study.