New Report Reveals Discrimination in NC’s Voucher-Funded Private Schools

A new report released by Public Schools First NC (PSFNC) this week reveals the extent to which North Carolina’s publicly funded voucher programs are supporting private schools that often exclude students through discriminatory policies.

The nonprofit public school advocacy organization examined hundreds of private schools that received Opportunity Scholarship voucher funds in the 2024-25 school year and found numerous clear examples of discrimination based on disability status, religion, LGBTQ+ identity, academic performance and family lifestyle.

Lawmakers have expanded the school voucher program exponentially throughout the state in recent years even as public schools continue to struggle to fund funding. In Mecklenburg County alone, the total amount of Opportunity Scholarship funding has gone from just over $5 million in 2021-22 to more than $83 million in 2024-25, showing a 1,548% increase. 

Through two school voucher programs that use taxpayer funds to pay private school tuition, lawmakers in the NC General Assembly have sent hundreds of millions of taxpayer dollars each year to schools that practice admissions policies and criteria that are not allowed in public schools, the report confirms. 

PSFNC’s 2025 NC Voucher Discrimination Report focuses on the types of discrimination most identified in admissions policies or documents such as parent/student handbooks for private schools that receive voucher money. 

Not meeting the requirements may result in a rejected application or the student being expelled from the school. Unlike public schools, many private schools have no formal process for questioning or appealing these decisions. 

We’ll break down the findings of the report categorized by the type of discrimination PSFNC found. 

Discrimination based on religion 

In 2024-25, 73% of the voucher-accepting private schools in North Carolina were religious schools, though the percentage of voucher funds flowing to those religious schools exceeded that number at 86%. The report shows that many religious schools explicitly limit enrollment to students from families actively engaged in their specific faith community.

For instance, Carmel Christian School in Matthews, which received $2,902,295 in voucher funds in 2024-25, states in its admissions process, “Recommendations from your student’s pastor and teacher(s) are a required part of the admissions process.”

Discrimination based on disability

Under federal law, public schools are required to accept and educate all students. Students with disabilities often require more resources, so some private schools erect barriers to admission that will limit enrollment to students who are cheaper and seen as easier to educate.

Under its admissions policies regarding tuition and fees, Intellicor International Academy in Charlotte ($2,205,369 in voucher funds) increases the annual fee per student for special education services by $1,500 compared to general education (GEP) students. 

The policy states that, “If your child does not have the Disability Grant, then the out-of-pocket $1,500 annually will be added to the Regular GEP tuition.”

Discrimination based on LGBTQ+ status

Several religious schools that accepted taxpayer funded vouchers in 2024-25 have faith statements explicitly prohibiting same-sex relationships and refuse to accept LGBTQ+ students.

On page 18 of its handbook, Lee Park Preparatory School in Monroe ($828,152 in voucher funds) states, “Homosexual or transgender conduct, defined as acts or identifying statements, is incompatible with enrollment at the Christian school and is a basis for dismissal.” 

Discrimination based on academics

To ensure high achievement, some voucher-recipient schools refuse to accept students who fail to meet a specific academic standard.

In its steps to admissions, Metrolina Christian Academy in Indian Trail ($4,731,790 in voucher funds) states, “We are unable to accept students with failing grades and/or discipline issues.”

Discrimination based on lifestyle

Some private schools have policies that dictate student and family behavior even when they’re away from the school.

Lincoln Christian Academy in Lincolnton ($359,432 in voucher funds) states in its handbook that, “On those occasions in which the atmosphere or conduct within a particular home is counter to or in opposition to the biblical lifestyle the school teaches, the school reserves the right, within its sole discretion, to refuse admission of an applicant or to discontinue enrollment of a student.” 

Discrimination based on ‘the right fit’

Private schools often require prospective students to participate in tours, interviews or shadow days as part of the admissions process. PSFNC’s report states that these practices could be used in subtle ways to screen out students or families that fall short of the school’s standards.

Pungo Christian Academy in Belhaven ($1,116,462 in voucher funds), Immaculata Catholic School in Hendersonville ($606,454 in voucher funds) and Wake Christian Academy in Raleigh ($3,417,174 in voucher funds) each follow some or all of these practices.

How widespread is discrimination in voucher-supported schools?

PSFNC examined the admissions policies of each of the 513 voucher-accepting private schools that received $100,000 or more in taxpayer funds during the 2024-25 school year. 

The report found that 38% of schools discriminated based on an applicant’s religion, 18% on lifestyle, 17% on disability, 15% on LGTBQ+ affiliation, and 14% on academics. In addition, 359 schools (70%) had “Right fit” policies, while 31 schools required a nonrefundable application fee of $200 or more not covered by vouchers.

The report includes data by county and school, showing how voucher funding has been distributed across the state. It has also researched the rise in private school tuition in response to increased state voucher funding.

While state officials claim they can do little about private schools that discriminate, the report points out that lawmakers can codify explicit anti-discrimination protections in voucher legislation and state laws that govern private schools. 

They could also withhold funding from private schools that violate federal anti-discrimination laws. 

“Taxpayers should not have to see their taxes used to fund discrimination in private schools,” the report concludes. “The best solution for North Carolina is to simply end all state funding for private school vouchers and focus on fulfilling the [state’s] constitutional requirement to support and improve our public school system.”

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