Rep. Prather files bill in North Carolina House to expand Innovations waiver, adjust scholarship eligibility

A new bill filed by State Rep. Lindsey Prather in the North Carolina House aims to broaden disability services and revise scholarship eligibility for students from lower income households, according to the North Carolina State House.

The bill, filed as HB 1076 on April 28 during the 2025 regular session, was formally listed with the short title: ‘The Innovations Waitlist Reduction Act.’

The following is our breakdown, based on the actual bill text, and may include interpretation to clarify its provisions.

In essence, this bill expands the North Carolina Innovations waiver by adding 6,635 new waiver slots for services to people with disabilities beginning July 1, 2026, and appropriates $240 million in recurring funds starting in the 2026-27 fiscal year to pay for them. The bill also tightens Opportunity Scholarship eligibility to students from households with incomes at or below 200% of the federal free or reduced-price lunch threshold and revises the award structure to prioritize lower income families. It reduces future General Fund appropriations to the Opportunity Scholarship Grant Fund Reserve, including a $240 million recurring cut beginning with funds used for the 2027-28 school year. The scholarship changes take effect July 1, 2026.

Of the four sponsors of this bill, Zack Hawkins proposed the most bills (52) during the 2025 regular session.

Bills in North Carolina follow a multi-step process before becoming law. A lawmaker starts by filing a bill, which is assigned to a committee for review. The bill must be read three times in each chamber. If one chamber changes the bill after the other passes it, both must agree on the final version. Once both chambers approve the same bill, it goes to the governor, who has 10 days (or 30 if the legislature is not in session) to sign, veto, or let it become law without a signature.

You can read more about the bills and other measures here.

Prather graduated from the University of North Carolina Asheville in 2008 with a BA.

Prather, a Democrat, was elected to the North Carolina State House in 2023 to represent the state’s 115th House district, replacing previous state representative John Ager.