NC H365

Appropriates $94 million in recurring funds and $6 million in nonrecurring funds to revise the community college funding formula, requiring the State Board to allocate funds based on FTE enrollment weighted by workforce sector, salary data, and labor market demand beginning in fiscal year 2025-2026

Establishes an Enrollment Increase Reserve to provide additional funding to community colleges experiencing enrollment increases exceeding 5% of budgeted levels or more than 325 total FTE students

Appropriates $40 million in recurring funds to expand cooperative innovative high school funding, with allocations varying by county development tier: $740,000 for the first school in Tier One areas, $590,000 in Tier Two, and $550,000 in Tier Three

Creates three DPI grant programs totaling $75 million annually: $30 million for STEM education (professional development, technology, lab upgrades), $20 million to expand CTE and dual enrollment opportunities for grades 9-12, and $25 million for industry-school partnerships facilitating internships and apprenticeships

Appropriates $10 million for an awareness campaign in public schools to promote community college enrollment, career pathways, and certification opportunities; effective July 1, 2025