A BILL TO BE ENTITLED
AN ACT to transfer the north carolina national guard tuition assistance program from the state education assistance authority to the department of public safety, to codify the tarheel challenge academy, to make changes to the butner timber fund sale proceeds, and to make changes to the north carolina national guard reserve jobs act.
The General Assembly of North Carolina enacts:

part i. transfer tuition assistance program
SECTION 1.(a)  The North Carolina National Guard Tuition Assistance Program administered by the State Education Assistance Authority is transferred to the Department of Public Safety. This transfer shall have all of the elements of a Type I transfer, as defined in G.S. 143A‑6. The State Education Assistance Authority shall transfer all associated program administration funds to the Department of Public Safety.
SECTION 1.(b)  Part 2 of Article 23 of Chapter 116 of the General Statutes, G.S. 116‑209.50 through G.S. 116‑209.55, is recodified as Article 15 of Chapter 127A of the General Statutes, G.S. 127A‑190 through G.S. 127A‑195.
SECTION 1.(c)  Article 15 of Chapter 127A of the General Statutes, as recodified as Article 15 of Chapter 127A of the General Statutes by subsection (b) of this section, reads as rewritten:
"Article 15.
"North Carolina National Guard Tuition Assistance Act of 1975.
"§ 127A‑190.  Short title.
This Article shall be known and may be cited as the North Carolina National Guard Tuition Assistance Act of 1975.
"§ 127A‑191.  Purpose.
The General Assembly of North Carolina, recognizing that the North Carolina National Guard is the only organized, trained and equipped military force subject to the control of the State, hereby establishes a program of tuition assistance for qualifying guard members for the purpose of encouraging voluntary membership in the North Carolina National Guard, improving the educational level of its members, and thereby benefiting the State as a whole.
"§ 127A‑192.  Definitions.
The following definitions apply in this Part:
(1)	Academic Year. – The annual enrollment period used by the Authority.
(2)	Private Educational Institutions. – Any junior college, senior college or university which is operated and governed by private interests not under the control of the federal, State or any local government, which is located within and licensed by the State of North Carolina, which does not operate for profit, whose curriculum is primarily directed toward the awarding of associate, baccalaureate or graduate degrees, which agrees to the applicable administration and funding provisions of this Part.
(3)	Proprietary School. – An educational institution that is (i) defined as a proprietary school in G.S. 115D‑87(2), (ii) licensed by the State Board of Community Colleges, or (iii) listed by the North Carolina State Approving Agency for Veterans and Military Education as an approved proprietary school for purposes of this Part.
(3a)	Secretary. – The Secretary of Public Safety or his or her designee.
(4)	State Educational Institutions. – Any of the constituent institutions of the University of North Carolina, or any community college operated under the provisions of Chapter 115D of the General Statutes of North Carolina.
(5)	Student Loan. – A loan or loans made to eligible students or parents of students to aid in attaining an education beyond the high school level.
"§ 127A‑193.  Benefit.
The benefit provided under this Article shall consist of a monetary educational assistance grant not to exceed the highest amount charged by a State educational institution per academic year or a lesser amount, as prescribed by the Secretary, to remain within the funds appropriated, to qualifying members of the North Carolina National Guard. Benefits provided under G.S. 127A‑195(g) shall be payable for a period of one year at a time, renewable at the option of the Secretary. All other benefits provided under this Article shall be payable for a period of one academic year at a time, renewable at the option of the Secretary.
"§ 127A‑194.  Eligibility.
(a)	Active members of the North Carolina National Guard who are enrolled or who shall enroll in any proprietary school, private educational institution, or State educational institution shall be eligible to apply for this tuition assistance benefit: Provided, that the applicant has a minimum obligation of two years remaining as a member of the North Carolina National Guard from the end of the academic period for which tuition assistance is provided or that the applicant commit himself or herself to extended membership for at least two additional years from the end of that academic period.
(b)	This tuition assistance benefit shall be applicable to students in the following categories:
(1)	Students seeking to achieve completion of their secondary school education at a community college or technical institute.
(2)	Students seeking trade or vocational training or education.
(3)	Students seeking to achieve a two‑year associate degree.
(4)	Students seeking to achieve a four‑year baccalaureate degree.
(5)	Students seeking to achieve a graduate degree.
(6)	Students enrolled in a program granting a graduate certificate.
(7)	Students enrolled in a professional certification program recommended by the Director of the North Carolina National Guard Education and Employment Center and approved by the North Carolina National Guard Education Services Officer.
(c)	The following persons shall be eligible to apply for disbursements to pay outstanding student loans pursuant to G.S. 127A‑195(g):
(1)	Persons described in subsections (a) and (b) of this section.
(2)	Active members of the North Carolina National Guard who were previously enrolled in any proprietary school, private educational institution, or State educational institution, but only if:
a.	The applicant has a minimum obligation of two years remaining as a member of the North Carolina National Guard from the time of the application; or
b.	The applicant commits himself or herself to extended membership for at least two additional years from the time of the application.
"§ 127A‑195.  Administration and funding.
(a)	The Secretary is charged with the administration of the tuition assistance program under this Part. The Secretary may delegate administrative tasks to other persons within the Department of Public Safety as the Secretary deems best for the orderly administration of this program.
(b)	The Secretary shall determine the eligibility of applicants, select the benefit recipients, establish the effective date of the benefit, and may suspend or revoke the benefit if the Secretary finds that the recipient does not maintain an adequate academic status, or if the recipient engages in riots, unlawful demonstrations, the seizure of educational buildings, or otherwise engages in disorderly conduct, breaches of the peace, or unlawful assemblies. The Secretary shall maintain such records and shall promulgate such rules and regulations as the Secretary deems necessary for the orderly administration of this program. The Secretary may require of proprietary schools or State or private educational institutions such reports and other information as the Secretary may need to carry out the provisions of this Article and the Secretary shall disburse benefit payments for recipients upon certification of enrollment by the enrolling institutions.
(c)	All tuition benefit disbursements shall be made to the proprietary school or State or private educational institution concerned, for credit to the tuition account of each recipient. Funds disbursed pursuant to subsection (g) of this section shall be made to the student loan creditor concerned to be applied against the outstanding student loans of each North Carolina National Guard member beneficiary.
(d)	The participation by any proprietary school or private educational institution in this program shall be subject to the applicable provisions of this Article and to examination by the State Auditor of the accounts of the benefit recipients attending or having attended such private schools or institutions. The Secretary may defer making an award or may suspend an award in any proprietary school or private educational institution which does not comply with the provisions of this Article relating to said institutions. The manner of payment to any proprietary school or private educational institution shall be as prescribed by the Secretary.
(e)	Irrespective of other provisions of this Article, the Secretary may prescribe special procedures for adjusting the accounts of benefit recipients who, for reasons of illness, physical inability to attend classes or for other valid reason satisfactory to the Secretary, may withdraw from any proprietary school or State or private educational institution prior to the completion of the term, semester, quarter or other academic period being attended at the time of withdrawal.
(f)	Any balance of the monetary educational assistance grant up to the maximum for the academic year remaining after tuition is paid pursuant to subsection (c) of this section may be disbursed to the recipient as reimbursement for required course books and materials. The manner of obtaining the reimbursement payment for these required books and materials shall be as prescribed by the Secretary.
(g)	Any funds not needed to accomplish the other purposes of this Article may be used to help members of the North Carolina National Guard repay outstanding student loans in accordance with rules to be adopted by the Secretary. These rules shall provide that the length of a member's deployment may be considered in determining whether or not, and in what amount, a member receives assistance pursuant to this subsection. There shall be no reimbursement under this subsection for payments already made on student loans, and funds shall not be provided under this subsection for the purpose of paying student loans obtained for courses from which the member withdrew or for which the member did not receive a passing grade. Payments for outstanding loans shall not exceed the maximum benefit available under G.S. 127A‑193."
SECTION 1.(e)  This section becomes effective October 1, 2021.

part ii. Tarheel challenge academy
SECTION 2.(a)  Chapter 127A of the General Statutes is amended by adding a new Article to read:
"Article 18.
"Tarheel Challenge Academy.
"§ 127A‑220.  Purpose; establishment.
The purpose of this Article is to authorize the North Carolina National Guard's Tarheel Challenge Academy to operate independently of existing schools. The Tarheel Challenge Academy is established as a Division of the North Carolina National Guard. The Tarheel Challenge Academy shall satisfy all of the following:
(1)	Exist as a cost‑free program.
(2)	Be housed for administrative purposes within the North Carolina National Guard.
(3)	Be a community‑based school that leads, trains, and mentors at‑risk youth.
(4)	Be designated as an approved alternative learning program, as defined in this Article, and an innovative school option.
(5)	Create at least a 22‑week residential program that requires a 12‑month post‑residential mentoring period.
(6)	Improve life skills and employment potential of participants by providing quasi‑military based training and supervised work experience.
(7)	Teach the "8 Core Components" of academic excellence, job skills, health and hygiene, physical fitness, life coping skills, responsible citizenship, leadership, and service to community.
(8)	Increase opportunity for participants to receive a high school diploma or its equivalent.
(9)	Enjoy the full cooperation of other State and local agencies in carrying out its program.
"§ 127A‑221.  Definitions.
The following definitions apply for the purposes of this Article:
(1)	Academy. – Tarheel Challenge Academy, a Division of the North Carolina National Guard.
(2)	Alternative learning program. – A program offered by the Academy that provides specialized services for at‑risk students outside of a standard classroom setting. Services should be designed to meet the needs of students who have not been successful in the traditional school setting.
(3)	Eligible participant. – An individual who meets all of the following criteria:
a.	Is a minimum of 16 years of age and a maximum of 18 years of age at the time of entry into the program.
b.	Has failed to complete or has left school for any reason before graduation or completion of a program of studies without transferring to another school and has not received a certificate from a program of equivalency or has not progressed in a traditional high school setting.
c.	A citizen or legal resident of the United States.
d.	Unemployed or underemployed.
e.	Not currently on parole or probation and not accused or convicted of a crime that would be considered a felony if the individual was an adult.
f.	Free from use of illegal drugs or substances.
g.	Physically and mentally capable to participate in the alternative learning program.
"§ 127A‑222.  Administration; supervision.
The general supervision and administration of the Academy shall be vested in the North Carolina National Guard Adjutant General. It shall be the duty of the Adjutant General or his or her designee to do all of the following:
(1)	Create a written document that incorporates the terms and conditions imposed on the Academy by the Federal Youth Challenge Program.
(2)	Organize and establish all rules and regulations for the Academy, as necessary.
(3)	Direct and control all Academy personnel matters.
(4)	Oversee and direct the administration and functioning of the alternative learning program offered by the Academy."
SECTION 2.(b)  This section becomes effective October 1, 2021.

part iii. butner timber fund sale proceeds
SECTION 3.  G.S. 146‑30 reads as rewritten:
"§ 146‑30.  Application of net proceeds.
(a)	The net proceeds of any disposition made in accordance with this Subchapter shall be handled in accordance with the following priority:
(1)	First, in accordance with the provisions of any trust or other instrument of title whereby title to real property was acquired.
(2)	Second, as provided by any other act of the General Assembly.
(3)	Third, by depositing the net proceeds with the State Treasurer.
Nothing in this section, however, prohibits the disposition of any State lands by exchange for other lands, but if the appraised value in fee simple of any property involved in the exchange is at least twenty‑five thousand dollars ($25,000), then the exchange shall not be made without consultation with the Joint Legislative Commission on Governmental Operations.
…
(d)	Notwithstanding any other provision of this Subchapter, the following exceptions apply:
…
(8)	The net proceeds derived from the sale of any portion of the land owned by the State in the Camp Butner reservation shall be deposited with the State Treasurer in a capital improvement account to the credit of the Department of Health and Human Services to make capital improvements on or to property owned by the State in the Camp Butner reservation subject to approval by the Office of State Budget and Management. The net proceeds derived from the sale of timber from land owned by the State in the Camp Butner reservation shall be deposited with the State Treasurer in a capital improvement account to the credit of the Department of Public Safety to be used to support the North Carolina National Guard's Camp Butner Training Center and other North Carolina National Guard–operated Training Centers. The definition of "Camp Butner reservation" in G.S. 122C‑3 applies to this subdivision.
…."

part iv. north carolina national guard reserve job act
SECTION 4.(a)  Article 13 of Chapter 126 of the General Statutes is amended by adding a new section to read:
"§ 126‑80.5.  National Guard preference.
(a)	It shall be the policy of the State of North Carolina that, in recognition and appreciation for service to the State and this country, and in recognition of the time and advantage lost toward the pursuit of a civilian career, an eligible member of the National Guard as defined in G.S. 126‑81(4) shall be granted preference in employment for positions subject to the provisions of this Chapter with every State department, agency, and institution.
(b)	In all evaluations of applicants for positions with this State or any of its departments, agencies, or institutions, a preference shall be awarded to all eligible members of the National Guard who are citizens of the State. This preference applies to initial employment and extends to other employment events, including a subsequent hiring, promotion, reassignment, or horizontal transfer.
(c)	The provisions of this section shall be subject to the provisions of Article 9 of Chapter 143B of the General Statutes."
SECTION 4.(b)  G.S. 126‑81 reads as rewritten:
"§ 126‑81.  Definitions.
The following definitions apply in this Article:
(1)	Period of war. – World War I (April 16, 1917, through November 11, 1918), World War II (December 7, 1941, through December 31, 1946), the Korean Conflict (June 27, 1950, through January 31, 1955), the period of time between January 31, 1955, and the end of the hostilities in Vietnam (May 7, 1975), or any other campaign, expedition, or engagement for which a campaign badge or medal is authorized by the United States Department of Defense.
(2)	Veteran. – A person who served in the Armed Forces of the United States on active duty, for reasons other than training, and has been discharged under other than dishonorable conditions.
(3)	Eligible veteran. – Any of the following:
a.	A veteran who served during a period of war.
b.	The spouse of a disabled veteran.
c.	The surviving spouse or dependent of a veteran who dies on active duty during a period of war either directly or indirectly as a result of such service.
d.	A veteran who suffered a service‑connected disability during peacetime.
e.	The spouse of a veteran described in subdivision d. of this subsection.
f.	The surviving spouse or dependent of a person who served in the Armed Forces of the United States on active duty, for reasons other than training, who died for service‑related reasons during peacetime.
(4)	Eligible member of the National Guard. – Any of the following:
a.	A resident of North Carolina who is a current member in good standing of either the North Carolina Army National Guard, the North Carolina Air National Guard, or the reserves of the Armed Forces of the United States.
b.	A resident of North Carolina who is a former member of either the North Carolina Army National Guard, the North Carolina Air National Guard, or the reserves of the Armed Forces of the United States whose discharge condition is greater than dishonorable with a minimum of six years of creditable service.
c.	The surviving spouse and dependent of a member of the North Carolina Army National Guard or the North Carolina Air National Guard who dies on State active duty either directly or indirectly as a result of that service.
d.	The surviving spouse or dependent of a member of the North Carolina National Guard who died for service‑related reasons during peacetime."
SECTION 4.(c)  G.S. 128‑15 reads as rewritten:
"§ 128‑15.  Employment preference for veterans and their spouses or surviving spouses.
(a)	It shall be the policy of the State of North Carolina that, in appreciation for their service to this State and this country during a period of war, and in recognition of the time and advantage lost toward the pursuit of a civilian career, veterans and eligible members of the National Guard shall be granted preference in employment with every State department, agency, and institution.
(b)	As used in this section:
(1)	Period of war. – World War I (April 16, 1917, through November 11, 1918), World War II (December 7, 1941, through December 31, 1946), the Korean Conflict (June 27, 1950, through January 31, 1955), the period of time between January 31, 1955, and the end of the hostilities in Vietnam (May 7, 1975), or any other campaign, expedition, or engagement for which a campaign badge or medal is authorized by the United States Department of Defense.
(2)	Veteran. – A person who served in the Armed Forces of the United States on active duty, for reasons other than training, and has been discharged under other than dishonorable conditions.
(3)	Eligible veteran. – Any of the following:
a.	A veteran who served during a period of war.
b.	The spouse of a disabled veteran.
c.	The surviving spouse or dependent of a veteran who dies on active duty during a period of war either directly or indirectly as the result of such service.
d.	A veteran who suffered a disabling injury for service‑related reasons during peacetime.
e.	The spouse of a veteran described in subdivision d. of this subsection.
f.	The surviving spouse or dependent of a person who served in the Armed Forces of the United States on active duty, for reasons other than training, who dies for service‑related reasons during peacetime.
(4)	Eligible member of the National Guard. – Any of the following:
a.	A resident of North Carolina who is a current member in good standing of either the North Carolina Army National Guard, the North Carolina Air National Guard, or the reserves of the Armed Forces of the United States.
b.	A resident of North Carolina who is a former member of either the North Carolina Army National Guard, the North Carolina Air National Guard, or the reserves of the Armed Forces of the United States whose discharge condition is greater than dishonorable with a minimum of six years of credible service.
c.	The surviving spouse and dependent of a member of the North Carolina Army National Guard or the North Carolina Air National Guard who dies on State active duty either directly or indirectly as a result of that service.
d.	The surviving spouse or dependent of a member of the North Carolina National Guard who died for service‑related reasons during peacetime.
(c)	Hereafter, in all evaluations of applicants for positions with this State or any of its departments, institutions or agencies, a preference shall be awarded to all eligible veterans and eligible members of the National Guard who are citizens of the State and who served the State or the United States honorably in the military forces of this State or of the United States during a period of war. This preference applies to initial employment with the State and extends to other employment events including subsequent hirings, promotions, reassignments, and horizontal transfers.
(d)	The provisions of this section shall be subject to the provisions of Article 1 of Chapter 165 of the General Statutes, G.S. 126‑83, and Parts 13 and 19 of Article 9 of Chapter 143B of the General Statutes."

Part v. effective date
SECTION 5.  Except as otherwise provided, this act is effective when it becomes law.