ARTICLE
3 September 2025

Old North State Report – August 29, 2025

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Association of Executives of North Carolina (AENC) Fall Conference...
United States North Carolina Government, Public Sector

UPCOMING EVENTS

October 9-10, 2025

Association of Executives of North Carolina (AENC) Fall Conference

November 13, 2025

Women Lead NC

January 12, 2026

Economic Forecast Forum

LEGISLATIVE NEWS

LEGISLATURE HOLDS BRIEF SESSION AMID ONGOING BUDGET IMPASSE

The North Carolina legislature convened briefly this week, but no votes were held, and no progress was made on passing a new state budget. Most lawmakers were told not to travel to Raleigh, resulting in largely empty House and Senate chambers. This reflects the ongoing budget stalemate between the two chambers, with neither Senate leader Phil Berger nor House Speaker Destin Hall present—an indication that negotiations remain stalled. The legislature had already completed most of its work for the year by June and is now holding short monthly sessions, many of which may pass without any legislative action.

Despite the new fiscal year having started last month, North Carolina does not face a government shutdown when a budget is not passed. Instead, the previous year's budget remains in effect. However, the absence of a new budget has significant consequences. Planned projects, such as a $180 million renovation of Poe Hall at N.C. State University and the construction of the state's first children's hospital, are on hold. Teachers and state employees are also going without raises, which is especially frustrating for unions and advocacy groups, as the State Health Plan is set to increase premiums and deductibles for nearly 800,000 current and retired workers and their families.

Last month, lawmakers passed a stopgap funding measure to maintain basic government operations, but it did not address more contentious issues like employee raises, tax cuts, or new spending initiatives. Meanwhile, Republican leaders are continuing efforts to override Democratic Governor Josh Stein's vetoes. Of the 15 vetoes issued by Stein, eight have already been overturned, and the Senate has completed votes on four more. One vetoed bill has become moot due to alternative legislative action.

The remaining bills with vetoes under consideration include:

Bill Number

Title

Summary

Veto Date

HB 96

Expedited Removal of Unauthorized Persons

Creates an expedited removal process for the removal of an unauthorized person from residential property.

July 9, 2025

HB 171

Equality in State Agencies/Prohibition on DEI

Bans Diversity, Equity, and Inclusion (DEI) initiatives in state agencies.

July 3, 2025

SB 50

Freedom to Carry NC

Allows the carry of a concealed handgun without a concealed handgun permit, except as otherwise prohibited by law.

June 20, 2025

SB 153

North Carolina Border Protection Act

Requires full cooperation with ICE by state agencies, restricts public benefits for unauthorized immigrants, removes immunity for sanctuary cities, and bans sanctuary policies at UNC institutions.

June 20, 2025

SB 227

Eliminating DEI in Public Education

Prohibits discriminatory practices and divisive concepts in public school units.

July 3, 2025

SB 558

Eliminating DEI in Public Higher Education

Prohibits public institutions of higher education (i.e., constituent institutions of The University of North Carolina and community colleges) from taking certain actions related to discriminatory practices and divisive concepts.

July 3, 2025


Republicans hold a 30-20 majority in the Senate, allowing them to override vetoes without Democratic support if all members are present. In the House, where the GOP holds a 71-49 majority, they need at least one Democrat to join them. Several Democratic representatives have already played key roles in previous override votes, including Shelly Willingham (Edgecombe), Carla Cunningham (Mecklenburg), Cecil Brockman (Guilford), and Nasif Majeed (Mecklenburg).

Both chambers are scheduled to meet again briefly on Thursday morning, but no major developments are expected before the legislature reconvenes on September 23.

WRAL News (Doran) 8/25/25

WUNC (Campbell) 8/26/25

The Center Square (Wooten) 8/26/25

WHAT WE'RE LISTENING TO

Under the Dome Podcast

Do Politics Better Podcast

WUNC Politics Podcast

Carolina Newsmakers Podcast

NC Capitol Wrap Podcast

WHAT WE'RE READING

Asheville Citizen Times

Carolina Journal

Charlotte Observer

Fayetteville Observer

Greensboro News & Record

NC Insider

New Bern Sun Journal

News & Observer

North State Journal

Our State Magazine

Triangle Business Journal

Under the Dome

Wilmington Star News

Winston-Salem Journal

WRAL

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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