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North Carolina House Bill 861 establishes competitive grants, performance standards, and reporting requirements for pregnancy centers

Original title: Taxpayer Accountability/Pregnancy Centers.

Last action · April 10, 2025: Ref To Com On Rules, Calendar, and Operations of the House (House action)Sponsors: Maria Cervania and 13 others

Introduced
Committee
Floor Vote
Passed
Law

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What This Bill Would Do

The General Assembly of North Carolina requires the Carolina Pregnancy Care Fellowship to establish a competitive grant process, performance standards, and detailed reporting requirements for state-funded pregnancy centers beginning July 1, 2025.

Why it matters

State-funded pregnancy centers must comply with new operational transparency rules, detailed client demographic reporting, and administrative spending caps, or face the recovery of disbursed state funds.

Who It Would Affect

Groups the bill's text would affect if enacted, as described in the record. Being affected is not a position for or against it.

Directly affected

Carolina Pregnancy Care Fellowship

Must administer a competitive grant process, cap administrative spending, ensure funds are used for nonsectarian purposes, and submit annual reports to the state.

Directly affected

Pregnancy centers

Must apply through a competitive process, meet new performance standards, submit detailed demographic and financial reports, and risk recovery of funds if noncompliant.

Directly affected

Department of Health and Human Services

Must adopt rules establishing performance standards, monitor compliance, receive annual reports, and recover disbursed funds for noncompliance.

Key Facts

  • The Carolina Pregnancy Care Fellowship must establish a competitive grant process for awarding state-appropriated funds to pregnancy centers.
  • The Carolina Pregnancy Care Fellowship is capped at using no more than 10 percent of allocated funds for administrative purposes for the 2023-2025 fiscal biennium, and no more than 15 percent for subsequent fiscal years.
  • State-allocated funds for the Carolina Pregnancy Care Fellowship must be used exclusively for nonsectarian and nonreligious purposes.
  • Beginning July 1, 2026, the Carolina Pregnancy Care Fellowship must annually report grant recipients, funding amounts, and client service metrics to the Department of Health and Human Services and legislative oversight committees.
Show all 9 facts
  • Beginning July 1, 2026, grant-awarded pregnancy centers must submit detailed annual reports including client counts by county, age category, race and ethnicity, income range, and specific services provided.
  • The Department of Health and Human Services must adopt rules establishing performance standards and monitoring mechanisms for pregnancy centers operating in North Carolina.
  • The Department of Health and Human Services is authorized to take administrative action to recover state grant funds or appropriations disbursed to any pregnancy center found out of compliance with performance standards.
  • Pregnancy centers must report five-year historical information including itemized annual expenditures for staff, supplies, marketing, travel, medical equipment, and rent.
  • This act becomes effective on July 1, 2025.

Frequently Asked Questions

What is the Carolina Pregnancy Care Fellowship required to establish under this bill?
The Fellowship must establish a competitive grant process, including a process, an effectiveness evaluation plan, a compliance monitoring plan, and fraud detection measures.
What percentage of funds can be used for administrative purposes?
Not more than 10 percent of allocated funds for the 2023-2025 fiscal biennium, and not more than 15 percent for subsequent fiscal years.
What information must pregnancy centers report annually beginning in 2026?
Pregnancy centers must report client activities and services broken down by county of residence, age categories, type of visit, types of services provided, race and ethnicity data, and client income ranges.

What else do you want to know?

News Coverage

No news coverage found yet. Articles are indexed twice daily.

Where This Stands

Currently in committee. The next step in the legislative lifecycle is Floor Vote.

Procedural history

3 actions
  1. Apr 10, 2025House
    Ref To Com On Rules, Calendar, and Operations of the House
  2. Apr 10, 2025House
    Passed 1st Reading
  3. Apr 9, 2025HouseIntroduced
    Filed

Version history

Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.

View official text →

Lobbying Activity

No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.

Full breakdown

Who this bill affects and the strongest case for and against it, written only from the bill’s own text.

Sponsors

Discoveries

1 pattern noticed across the record

Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.

policy shift98% confidence

Introduction of Competitive Granting and Oversight for Pregnancy Centers

The bill shifts state funding for pregnancy centers from direct allocations to a structured competitive grant process overseen by the Carolina Pregnancy Care Fellowship and the Department of Health and Human Services.

Connected Entities

Division of Public Health, Joint Legislative Commission on Governmental Operations, Joint Legislative Oversight Committee on Health and Human Services and 3 more
OrganizationDivision of Public Health“Division within the Department of Health and Human Services”Map →
OrganizationJoint Legislative Commission on Governmental Operations“Legislative commission receiving annual reports”Map →
OrganizationJoint Legislative Oversight Committee on Health and Human Services“Legislative oversight committee receiving annual reports”Map →
OrganizationFiscal Research Division“Legislative division receiving annual reports”Map →
OrganizationDepartment of Health and Human Services“State department receiving reports and adopting performance standards”Map →
OrganizationCarolina Pregnancy Care Fellowship“Nonprofit corporation administering grant funds to pregnancy centers”Map →

Sources

Analysis Score

0–100
  • Significance75
    How much this matters to a regular citizen
  • Controversy80
    Intensity of disagreement among stakeholders
  • Entertainment10
    Compellingness for a non-policy-wonk reader
  • Buzz50
    Current news / social attention level

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