This report details an investigation of governance, academic freedom, and institutional racism in the University of North Carolina system. The report considers the influence of the gerrymandered North Carolina state legislature on the systemwide board of governors and campus boards of trustees and how political pressure has obstructed meaningful faculty participation in the governance of the UNC system. It also assesses how the environment for academic freedom in the UNC system has been weakened by the politicization and increased centralization of system governance and by mounting political interference in university policy. Finally, the report focuses on key issues of institutional racism within UNC: the racial climate, institutional inequities, and retention of faculty of color. It demonstrates how the areas of governance, institutional racism, and academic freedom overlap significantly.