NC Working Families Economic Relief Act.

GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2025
H 1
HOUSE BILL 668

Short Title: NC Working Families Economic Relief Act. (Public)
Sponsors: Representatives Crawford, Turner, Rubin, and Alston (Primary Sponsors).
For a complete list of sponsors, refer to the North Carolina General Assembly web site.
Referred to: Appropriations, if favorable, Rules, Calendar, and Operations of the House
April 3, 2025
*H668-v-1*
A BILL TO BE ENTITLED 1
AN ACT TO ESTABLISH A GRANT PROGRAM AT N ORTH CAROLINA COMMUNITY 2
COLLEGES TO EXPAND I NCOME TAX ASSISTANCE IN THE STATE AND TO 3
PROVIDE FUNDS TO THE UNITED WAY OF NORTH CAROLINA TO EXPAND ITS 4
VOLUNTEER INCOME TAX ASSISTANCE PROGRAM. 5
Whereas, it is estimated that 225,000 North Carolina filers are eligible for the Federal 6
Earned Income Tax Credit but do not claim the credit; and 7
Whereas, it is estimated that the average Earned Income Tax Credit is about $2,812 8
per filer; and 9
Whereas, th e Internal Revenue Service (IRS) provides a federal program, the 10
Volunteer Income Tax Assistance (VITA) program, for which grants are available. VITA 11
provides for individuals who make below a certain income threshold per year to have their taxes 12
completed by an IRS-certified individual for free, allowing them to take full advantage of every 13
federal tax credit and return more of North Carolina's hard-earned dollars to our citizens, putting 14
more money into our economy; and 15
Whereas, community colleges can prov ide work -based learning opportunities for 16
students; Now, therefore, 17
The General Assembly of North Carolina enacts: 18
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PART I. GRANT PROGRAM AT NORTH CAROLINA COMMUNITY COLLEGES TO 20
EXPAND INCOME TAX ASSISTANCE IN THE STATE 21
SECTION 1.(a) Program Established. – Within the funds appropriated in subsection 22
(d) of this section, the State Board of Community Colleges shall establish a grant program for 23
participating community college campuses to offer courses to students to become tax preparer s 24
as part of the Volunteer Income Tax Assistance (VITA) program and to facilitate providing VITA 25
services to all students on campus, as well as community members. The Internal Revenue Service 26
(IRS) offers free tax help through VITA to (i) people who genera lly make sixty-seven thousand 27
dollars ($67,000) or less, (ii) persons with disabilities, and (iii) limited English -speaking 28
taxpayers who need assistance in preparing their own tax returns. The goal of the grant program 29
shall be for community colleges to p rovide work -based opportunities to students while 30
facilitating access to the VITA program for their local communities. 31
SECTION 1.(b) Components of the Program. – In administering the grant program, 32
the State Board of Community Colleges shall require parti cipating community colleges to do at 33
least the following: 34
General Assembly Of North Carolina Session 2025
Page 2 House Bill 668-First Edition
(1) Offer the following courses to students interested in becoming certified as tax 1
preparers for the VITA program: 2
a. A fall curriculum course for the purposes of teaching basic tax 3
accounting and training students on the preparation of federal and 4
North Carolina tax returns. The course shall lead to the completion of 5
the IRS Link and Learn training to become certified as tax preparers 6
for the VITA program. 7
b. A spring work -based learning course whe re students commit to 15 8
hours per week from January through April 15 to prepare taxes. 9
(2) Designate a faculty champion to facilitate the program. 10
(3) Provide VITA services to be offered to all students on campus as well as 11
community members. 12
SECTION 1.(c) Applications for Grants. – A community college shall apply for a 13
grant to the State Board with a plan to implement the VITA program on its campus with at least 14
the following information: 15
(1) A time line for implementing the curriculum and a recruitment of students to 16
become certified as VITA tax preparers. 17
(2) Options for paid work -based opportunities for students as part of the spring 18
curriculum. Students shall be provided hourly compensation for tax 19
preparation assistance during tax season as part of the program. 20
(3) Start-up and ongoing costs for personnel, including site coordinators and 21
quality reviewers, and budget for continuing costs for running the VITA 22
program. 23
SECTION 1.(d) Appropriation. – There is appropriated from the General Fund to 24
the Community Colleges System Office the sum of one million three hundred eighty thousand 25
dollars ($1,380,000) in nonrecurring funds and six hundred ten thousand dollars ($610,000) in 26
recurring funds for the 2025-2026 fiscal year to implement the grant program in accordance with 27
this act. The funds shall be used as follows with any unexpended funds returned to the System 28
Office: 29
(1) For the 2025 -2026 fiscal year, the sum of seven hundred ninety thousand 30
dollars ($790,000) in nonrecurring funds may be used for cre ation of the 31
curriculum, for bonuses of up to one thousand five hundred dollars ($1,500) 32
per community college receiving a grant to support a faculty champion on 33
campus, to support hiring personnel for the VITA program, and to establish 34
work-based learning opportunities for students. 35
(2) For the 2025-2026 fiscal year and for subsequent fiscal years, six hundred ten 36
thousand dollars ($610,000) in recurring funds may be used to support hiring 37
personnel for the VITA program and to establish work -based learning 38
opportunities for students. The System Office may use up to fifty thousand 39
dollars ($50,000) of the recurring funds appropriated for the program each 40
fiscal year for administrative costs associated with administering the grant 41
program. 42
SECTION 1.(e) Of the nonrecurring funds appropriated to the Community Colleges 43
System Office in subsection (d) of this section for the 2025 -2026 fiscal year, the sum of up to 44
five hundred ninety thousand dollars ($590,000) shall not revert at the end of the 2025 -2026 45
fiscal year but shall remain available until the end of the 2026-2027 fiscal year to provide bonuses 46
of up to five hundred dollars ($500.00) per community college receiving a grant to support a 47
faculty champion on campus, to support hiring personnel for the VITA program, and to establish 48
work-based learning opportunities for students. 49
SECTION 1.(f) There is appropriated from the General Fund to the Department of 50
Revenue the sum of fifty thousand dollars ($50,000) in nonrecurring funds and one hundred 51
General Assembly Of North Carolina Session 2025
House Bill 668-First Edition Page 3
thousand dollars ($100,000) in recurring funds for the 2025-2026 fiscal year to provide training 1
and technical assistance to community college campus personnel and students participating in 2
the grant program in accordance with this act. The Department of Revenue ma y use the funds 3
appropriated pursuant to this section to contract with a third -party vendor to provide technical 4
assistance and support for the program. 5
6
PART II. FUNDS TO TH E UNITED WAY OF NORT H CAROLINA TO EXPAND ITS 7
VOLUNTEER INCOME TAX ASSISTANCE PROGRAM 8
SECTION 2. There is appropriated from the General Fund to the Office of State 9
Budget and Management the sum of eight hundred forty thousand dollars ($840,000) in 10
nonrecurring funds for the 2025-2026 fiscal year to be allocated as a directed grant to the United 11
Way of North Carolina to expand its Volunteer Income Tax Assistance (VITA) program. These 12
funds shall be used to increase the number of VITA locations, provide dedicated staff to support 13
evaluation of the program and recruitment, provide needed so ftware and office supplies for the 14
program, and improve marketing and communication efforts to include multilingual materials, 15
connection to online resources where internet is available, and educational opportunities on 16
household budgeting, financial planning, and other resources to improve financial skills. These 17
funds shall not revert at the end of the 2025-2026 fiscal year but shall remain available until the 18
end of the 2026-2027 fiscal year. 19
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PART III. EFFECTIVE DATE 21
SECTION 3. This act becomes effective July 1, 2025. 22