S257 - 2026 Appropriations Act. (SL 2026-41)

• Training, residency programs, and associated capital improvement projects for (i) medical schools and health affairs programs operated by constituent institutions of The University of North Carolina (UNC) and (ii) private and public health care entities in the State.
• Development and expansion of courses at constituent institutions of UNC that lead to a degree in a field related to health care.

The UNC System Office must ensure that each entity receiving monies from the Fund expend no more than $200,000 per fiscal year on capital improvement projects. The UNC System Office must administer the Fund and can use up to 5% of the monies in the Fund each fiscal year for administration of the Fund. Monies allocated to entities from the Fund do not revert and remain available until expended.

Additionally, the UNC System Office must allocate to the Fund all of the following:

• Funds that were appropriated to the Board of Governors of The University of North Carolina (BOG) pursuant to the 2023 Appropriations Act for the Rural Residency Medical Education and Training Fund.
• $4,898,216 in recurring funds that were appropriated to the BOG pursuant to the 2026 Appropriations Act.
• $4.5 million in nonrecurring funds in receipts budgeted from the Rural Health Care Stabilization fund pursuant to the 2026 Appropriations Act.
• $9 million in recurring funds and the $9.5 million in nonrecurring funds that were appropriated to the Board of Governors for Healthcare Workforce Programs Expansion pursuant to the 2026 Appropriations Act, as amended by S.L. 2026-42.

Section 8.20 of S.L. 2026-41 became effective June 30, 2026. Section 3.16 of S.L. 2026-61 became effective July 1, 2026.