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January 31, 2026

[1]www.publicschoolsfirstnc.org
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Free Pass for Statewide Virtual Charter Schools

In their first meeting of the year, the Charter School Review Board
reviewed 37 charter schools for renewals. Included in the group were the
state’s two virtual charter schools, which were being reviewed for the
first time since their launch in 2015. Initially started as pilot programs,
their pilot status was extended multiple times despite poor performance.

The [7]2023 Appropriations Act (Section 7.26) extended the pilot program
through the end of the 2025-26 school year, so to stay open, both statewide
virtual charter schools had to undergo review this year. Legislation
allowed the virtual charter schools to apply for a charter as “remote
charter academies” (established as part of the 2023 Appropriations Act) and
stipulated that remote charter academies could only be renewed for 5 years.
The 3, 7, or 10-year renewals were not options, though the legislation did
not provide a justification for the 5-year requirement.

[8]NC Virtual Academy and [9]NC Cyber Academy are chronically
low-performing schools.

NCDPI [10]defines low-performing schools as "those that receive a school
performance grade of D or F and a school growth score of 'met expected
growth' or 'not met expected growth.' Continually low-performing schools
have been low performing for two of the last three years."

Except in 2023, when NC Virtual Academy received a C performance grade and
Exceeded growth expectations, both schools have only received D performance
grades and have Not Met growth expectations. (See School Report Cards for
[11]NC Virtual Academy and [12]NC Cyber Academy.)

According to the [13]Charter School Renewal Guidelines, neither school
meets the criteria for receiving a 5-year renewal. Both clearly fail to
meet criteria 5: The school is not currently designated as continually
low-performing.

Adding complexity to the virtual charter school renewal is the question of
why they have so much extra money. According to the NCDPI [14]Office of
School Business, by the end of 2025, NC Cyber Academy had $9.7 million and
NC Virtual Academy had $16.0 million in leftover funds. Why aren’t those
funds being used to serve students?

For NC Virtual Academy, the answer may be found in the lawsuits currently
pending against the organization that runs the school—[15]K-12, formerly
Stride K-12— which is traded on the NY Stock Exchange. For example, in
September 2025, a New Mexico school board [16]sued Stride for fraud,
deceptive trade practices, and systemic violations of law regarding
mandated teacher-to-student ratios.

[17]Investors have also sued Stride for inflating profit estimates and for
enrolling “ghost students” to inflate profits and undercutting essential
staffing requirements to boost profits.

With millions in unspent funds and chronically low-performing student
achievement, these statewide virtual charter schools merit further
examination by lawmakers who are interested in student educational quality
and/or fiscal responsibility.

Senate Bill 371 ([18]Stop Chronically Low-Performing Charters) was
introduced in the 2025 long session to address some of the loopholes
currently enjoyed by charter schools. For example, unlike traditional
public schools, low-performing charter schools are exempt from the
requirements for school improvement planning.

A [19]requirement for low-performing traditional public schools is the
“development of a school or district plan for improvement that specifically
addresses the strategies the school or district will implement to improve
both the School Performance Grade and School Growth designation. These
final plans are shared with the public, including parents, guardians, and
staff and are made available through the local district website and the
NCDPI website.”

Unfortunately, Senate Bill 371 was not advanced. Perhaps in the 2026 short
session, it will be revisited along with legislation to require
accountability for private schools such as publicly available performance
metrics.

Connecting the Troubling History of School Privatization Efforts to the New
Federal School Voucher Program

Southern Education Foundation’s latest publication provides an important
perspective for anyone considering the pros/cons of the federal voucher
program.

School vouchers are often framed as a tool for choice, but their origins
tell a very different story—one rooted in efforts to resist integration and
preserve racial segregation. This memo recounts the troubling historical
roots of school vouchers and examines how school privatization efforts
continue to exacerbate racial inequalities and harm students. The document
begins with a summary of the new federal school voucher program, followed
by a historical timeline of school vouchers and relevant contemporary
examples of racial discrimination. The memo concludes with federal and
state policy recommendations to safeguard student civil rights and
strengthen public schools.

Understanding the history of school vouchers is essential for policymakers
committed to developing a system that serves all students, as today’s
decision on school vouchers will shape whether public education remains a
cornerstone of opportunity or balloons into a private commodity that drives
segregation and inequality.

[20]READ MORE

Legislative and SBE Updates

The House and Senate convene again on Monday, February 9 at 10:00 a.m. In
the meantime, there are several other meetings. Streaming information is
found on the committee pages.

Tuesday, February 3, 10:00 a.m. [21]Joint Legislative Education Oversight
Committee

Monday, February 9, 9:00 a.m. [22]House Select Committee on Oversight and
Reform

Check the [23]legislative calendar for additional meetings and updates.

The State Board of Education meets on February 4 and 5. [24]Agenda and
[25]streaming information.

Stop Federal Vouchers!

Last summer, Congress passed a nationwide school voucher scheme buried
inside the One Big Beautiful Bill Act (H.R. 1). This program would redirect
federal tax dollars to private schools and leave public schools across the
country with fewer resources and deeper budget cuts. Governors now hold the
power to opt their states into this pipeline, even though most families
have never heard a word about it.

In North Carolina, state lawmakers sidestepped the bill’s opt-in
requirement by passing House Bill 87 ([26]Educational Choice for Children
Act), which required the state to adopt the federal voucher program.
Governor Stein vetoed it. In his veto message, he said he would wait to
make a final decision until the guidance for the program is released.

In the coming weeks, Governor Stein may make his decision about the federal
voucher program, and the public has very little time to intervene. No
governor should volunteer their state to participate in a program that
destabilizes public schools and gives private institutions a blank check.
If they do, billions of tax dollars will flow into private institutions
that face little oversight and serve only a fraction of students.

This is the moment to make it clear that families, educators, and voters
will not tolerate a federal voucher takeover of our public schools.

Together, we can stop this federal voucher pipeline before it causes more
harm to North Carolina’s children.

Contact Governor Stein and urge him to reject the federal voucher program!

[27]Send an Email to Governor Stein!

Join Us in Raleigh on February 11 to Support Public Schools!

Our January wEDnesdays for Public Schools was a success!

Join us on Wednesday, February 11 for our second installment.

We are meeting on the second Wednesday of the month (through April) in
front of the NCGA (Legislative Building) to speak up for NC’s public
schools.

Bring your signs and your friends and join us! [28]Sign up here (just to
let us know you're coming - it's not required).

11 a.m. to 1:00 p.m.

State Legislative Building at 140 E Jones Street, Raleigh
* February 11
* March 11
* April 8

Check Out Our NEW NC Education Lottery Fact Sheet

The North Carolina Education Lottery was created in 2005 when Governor Mike
Easley signed the North Carolina State Lottery Act and the 2005
Appropriations Act into law.

Originally, 35 percent of lottery proceeds were required to go to
education. However, in 2007, the legislature changed this requirement to a
guideline, removing legislation that safeguarded lottery funds for strictly
educational purposes. As a result, the percentage of lottery revenue
allocated to education spending has decreased in recent years. In 2024, the
percentage of lottery revenue allocated for education spending dropped to
20.2%. This percentage further declined in 2025 to 16.4%.

[29]READ MORE

In Case You Missed It

[30]NC Teacher of the Year Finalists Announced

[31]64% increase in Teaching Fellows!

[32]NCDPI Launches "Find Your Fit, Build Your Future" Initiative

[33]Private school choice could 'undermine' special education gains, COPAA
says

[34]Arkansas Republican lawmakers may be waking up to fiscal ramifications
of school vouchers

Voting by Mail Has Started for the March 3 Primary!

On January 12, North Carolina’s 100 county boards of elections started
sending absentee-by-mail ballots to registered voters who requested a
ballot for the 2026 primary election.

This marked the start of voting for our March 3 primary election. Voters
who have already requested absentee-by-mail ballots should receive them in
the coming days. In North Carolina, any eligible voter can request,
receive, and vote an absentee ballot by mail. Find more information at
[35]Vote by Mail.

The absentee ballot request deadline is Tuesday, Feb. 17. Election
officials urge voters who wish to vote by mail to request their ballot as
early as possible to ensure there is time to receive it and then send it
back to their county board of elections so that it is received no later
than 7:30 p.m. on Election Day – March 3.

Find more information at [36]NCSBE.GOV or [37]VOTE411.org.

Mark Your Calendar!

Multiple Dates, 7:00-8:30 pm: Resilience and ACES. Learn about Adverse
Childhood Experiences (ACES) and resilience. Join us for this
award-winning, 60-minute film, Resilience: The Biology of Stress & The
Science of Hope. This documentary examines how abuse, neglect, and other
adverse childhood experiences affect children’s development & health
outcomes in adulthood. This powerful movie is a conversation starter and a
perspective changer.

[38]REGISTER HERE

All screenings are on Thursday and include time for discussion. Invite a
friend and contact us about setting up a private screening for your school
staff, PTA, civic group, church, or synagogue.
* February 26, 2026
* March 26, 2026

Request A Speaker!

Need a speaker for your next event or group meeting? PSFNC welcomes the
opportunity to speak to your group or organization on public
education-related topics.

We offer our programs virtually to improve accessibility and attendance and
therefore extend your reach. Our services are free of charge but may
require travel-related expenses if the program is in-person.

Email us at [email protected] for more information.

Words to Remember

"I think the teaching profession contributes more to the future of our
society than any other single profession."

— John Wooden, Legendary UCLA Basketball Coach and Teacher

Help us support public schools!

Public Schools First NC is a statewide nonpartisan, 501(c)(3) nonprofit
focused solely

on pre-K to 12 public education issues. We collaborate with parents,
teachers, business and civic leaders, and communities across North Carolina
to advocate for one unified system of public education that prepares each
child for productive citizenship.

[39]DONATE HERE

[40]www.publicschoolsfirstnc.org

Questions? Contact us today at [email protected]

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