North Carolina Childcare Licensing Requirements Guide

The licensing agency: NC DCDEE

North Carolina childcare centers are licensed by the Division of Child Development and Early Education (DCDEE), within the NC Department of Health and Human Services (DHHS). The regulations governing child care centers are in 10A NCAC 09. DCDEE has regional consultants who handle licensing inspections, technical assistance, and complaint investigations.

What makes North Carolina distinctive is its star-rated licensing system, which fuses quality recognition with the licensing process itself. Every licensed center carries a star rating — this is not separate from or optional alongside the license. Understanding how stars are earned and maintained is inseparable from understanding NC licensing.

Staff-to-child ratio requirements

North Carolina’s required ratios under 10A NCAC 09 by age group:

• Infants (0–12 months): 1 staff to 5 children
• 13–24 months: 1 staff to 6 children
• 2-year-olds: 1 staff to 7 children
• 3-year-olds: 1 staff to 10 children
• 4-year-olds: 1 staff to 15 children
• 5-year-olds: 1 staff to 20 children

Group size maximums accompany these ratios. Infant groups may not exceed 12; toddler groups (13-24 months) may not exceed 12; 2-year-old groups may not exceed 14; 3-year-old groups may not exceed 20; 4-year-old groups may not exceed 25; and 5-year-old groups may not exceed 25.

At least one of the staff members counted in each ratio group must meet the NC qualification requirements for that age group.

North Carolina’s star-rated licensing system

This is the aspect of NC licensing most unfamiliar to directors coming from other states. In most states, a quality rating system like QRIS is voluntary — you can have a basic license without any star rating. In North Carolina, every licensed center receives a star rating as part of the license. There is no “licensed without a star rating” status.

Star levels:

• 1-star: The center meets minimum health and safety licensing requirements. No additional educational or program quality standards are required.
• 2-star: At least 75% of teaching staff meet or are working toward NC’s standard staff credential requirements. The center has a written program philosophy and a curriculum plan.
• 3-star: All lead teachers hold at minimum a CDA credential or 15 credit hours in ECE; directors have additional educational qualifications. Environmental quality indicators are assessed.
• 4-star: Lead teachers have at minimum an associate’s degree in ECE or a related field; directors have a bachelor’s degree. A formal curriculum is implemented.
• 5-star: Lead teachers have a bachelor’s degree or higher in ECE or a related field; directors have a master’s degree or a bachelor’s with significant experience. Accreditation by NAEYC or another approved organization is typical at this level.

Star ratings affect subsidy reimbursement rates — county DSS reimbursement rates are higher for higher-star centers. This means a center’s star rating has a direct financial effect on what it receives per subsidized child.

Staff qualifications

NC qualifications requirements escalate with star level, but at every star level, certain baseline requirements apply:

All staff: Must be at least 18 years of age. Must complete an DCDEE-approved orientation before or within 90 days of hire. Orientation covers child development, health and safety, and child abuse reporting requirements.

Lead teachers at 1-star: No formal ECE credential required beyond the orientation, though having one improves star eligibility.

Lead teachers at higher star levels: See star-level requirements above. CDA credential, associate’s degree, or bachelor’s degree in ECE or a related field at 3-star, 4-star, and 5-star respectively.

Director: At 1-star, must have a high school diploma and documented experience. Requirements increase with star level — a 5-star director typically has a master’s degree.

CPR and first aid: at least one staff member per group must hold a current infant/child CPR and first aid certification.

Background check requirements

North Carolina requires criminal history and abuse/neglect registry checks for all employees and volunteers at licensed childcare facilities:

State criminal history check: Submitted through DCDEE’s online background check system. All prospective employees must complete this check before beginning work.

DCDEE background check registry: DCDEE maintains a registry of individuals disqualified from childcare employment based on criminal history or substantiated abuse/neglect findings.

Central Registry check: DCDEE checks the NC Department of Social Services central registry for substantiated child abuse and neglect findings involving the applicant.

FBI check: Required for employees in director or lead teacher roles and for positions with regular unsupervised access to children.

All checks must clear before an individual works with children. Documentation of clearances must be maintained in employee personnel files.

Facility requirements

North Carolina requires a minimum of 30 square feet of usable indoor space per child in the licensed capacity. Outdoor play space: 75 square feet per child for the children using outdoor space at one time.

Bathroom requirements: one toilet and one sink per 15 children who use toilet facilities. Diaper changing areas must have sanitizable surfaces with handwashing facilities within arm’s reach.

Facilities must pass a fire inspection and a local health inspection before a license is issued. Environmental hazards — lead paint, asbestos — must be addressed per applicable state and local codes.

Health and safety documentation

DCDEE requires centers to maintain:

• Enrollment records with emergency contacts, authorized pickups, and health information for each child
• Immunization records per NC Department of Health and Human Services requirements
• Medication authorization forms for all medications administered
• Incident/accident reports for any injury, retained for at least three years
• Daily attendance records with arrival and departure times
• Staff training records and background check documentation

Emergency drill records: fire drills required monthly, shelter-in-place drills required twice annually.

The initial licensing process

The DCDEE licensing application is submitted online:

1. Application and supporting documents: Submit the online application with facility information, floor plan, lease or property documentation, director qualifications, and staff roster.
2. Background checks: All staff must complete required background checks before the inspection.
3. Fire and health inspections: Obtain clearances from the local fire authority and the county health department.
4. Pre-licensing inspection: A DCDEE consultant inspects the facility. Any deficiencies must be corrected. DCDEE assigns the initial star rating at this stage based on submitted documentation.
5. License issuance: DCDEE issues the license with the licensed capacity and the star rating. NC licenses are renewed annually.

License renewal and ongoing compliance

NC licenses are renewed annually. DCDEE conducts at least one unannounced monitoring visit annually. Star ratings are re-evaluated at renewal — if staff qualifications have changed, the star rating may change. Centers can apply to move up in star level during the license year by submitting documentation of improved qualifications or program standards.

NC Pre-K program

North Carolina’s NC Pre-K program is the state’s publicly funded pre-kindergarten program for at-risk 4-year-olds. Administered by DCDEE, it operates through local Smart Start partnerships and serves children through approved NC Pre-K sites, which include licensed childcare centers. Pre-K lead teachers must hold a bachelor’s degree in ECE or a related field and hold or be working toward the NC Birth-Kindergarten licensure. Centers participating in NC Pre-K receive per-child funding and must meet additional curriculum, assessment, and reporting requirements beyond standard licensing.