Lawmakers in North Carolina have introduced a new measure aimed at addressing financial challenges faced by high school athletic coaches. Senate Bill 657, also known as the “Keeping Our Coaches Act,” proposes allocating $11 million annually from the state’s sports betting tax revenue to supplement salaries for public school coaches, WCNC Charlotte announced. The bipartisan-backed bill is designed to retain coaching talent in the state and prevent them from leaving for better-paying opportunities elsewhere.

In North Carolina, high school coaches often receive minimal stipends, and there is currently no statewide minimum pay for these positions. If passed, Senate Bill 657 would ensure that each eligible athletic coach in public schools receives at least $3,000 in salary supplements per year. The funds would be distributed through the Department of Public Instruction (DPI), which will oversee the implementation and ensure compliance with the legislation.

To qualify for the state-funded supplement, coaches must be full-time employees at a public school and already receive a coaching stipend of $3,000 or less from local funds. The legislation stipulates that the state’s contribution must be an addition to existing local payments and cannot replace them. If a school district diverts state funds to replace local contributions, it will be disqualified from receiving funding the following year.

School districts seeking to participate in the program must submit an annual report to the DPI by August 15 detailing the non-state funds allocated for coaching stipends in the previous school year. Schools that fail to submit the required report will not be eligible for supplemental funding.

Competitive Pressure from Neighboring States

The push for increased coaching pay is partly driven by concerns over North Carolina coaches moving to other states for better financial opportunities. A prominent example occurred in March 2024 when South Carolina’s Marlboro County School District hired eight high school coaches from North Carolina in one move. Among those recruited was Cory Johnson, a former Clinton High School coach with an impressive 61-12 record and a state championship title.

The financial disparity between states is evident. A 2022 report from The State newspaper in Columbia, South Carolina, revealed that 34 high school head coaches in the state earned salaries exceeding $100,000 annually, a significant increase from 16 in 2016. North Carolina coaches have taken note of these numbers, increasing pressure on the state to offer more competitive compensation.

Bill’s Implementation and Potential Impact

If the “Keeping Our Coaches Act” becomes law, it will take effect on July 1, 2025, just in time for the 2025-26 school year. The legislation is currently under review by the Senate’s Committee on Rules and Operations.

Beyond supporting high school coaches, the bill also ensures that any remaining funds from the $11 million allocation will be directed toward youth sports programs through the North Carolina Alliance of YMCAs. This aligns with the state’s broader approach to utilizing sports betting tax revenue, which also funds youth sports grants and supports historically Black colleges and universities (HBCUs).

With legalized online sports betting launching in North Carolina in March 2024, the state has already generated $131.3 million in tax revenue from sportsbooks. The bill’s sponsors—including Sen. Sophia Chitlik (D-Durham), Sen. Val Applewhite (D-Cumberland), Sen. Todd Johnson (R-Union), and Sen. Eddie Settle (R-Surry)—believe this funding source presents a viable solution to an ongoing issue.

North Carolina’s Proactive Approach Compared to Other States

While other states are considering similar measures, North Carolina is ahead in the legislative process. For example, in Florida, lawmakers have discussed using sports betting revenue to improve high school coaching pay, but no bill has been introduced yet.

As North Carolina moves forward with this proposal, the outcome could set a precedent for how states use gambling revenue to address education and sports-related financial challenges. If successful, it could help retain coaching talent and provide stability for high school athletic programs across the state.